New York

Lawmakers scrambled to extend gas tax ‘holiday’.news

Albany — With the state’s gasoline and diesel fuel tax “holiday” set to expire on January 1, several lawmakers have warned New Yorkers to deal with rising and rising prices on essentials such as energy, food, and clothing. I propose to extend it to .

The state’s moratorium on gas taxes for seven months until the program ends is estimated to bring state revenue to about $600 million.

But the state loss is good news for drivers who drive gas-burning vehicles.

The fuel tax moratorium gave consumers at least 16 cents per gallon, according to state officials. The county could give the county share of the sales tax a holiday. Some did, some didn’t.

Congressional Republican leader Will Barclay, R-Pulaski, told the CNHI that he supports extending the tax holiday, arguing New Yorkers are financially squeezed by inflationary pressures across the economy.

“The latest inflation rate confirms what everyone already knew: Prices are still rising and the financial woes persist,” Barclay said.

Barkley recalled that when inflation hit 5.4% a year ago, Republican lawmakers called for two years of sales tax cuts on purchases of essentials such as gasoline.

But he said the Democrats did nothing about the proposal.

With inflation now at 8.2%, “the situation is only getting worse and it is clear that this will be a major priority heading into 2023.”

Some Upstate Democrats have joined the vanguard of advocating lower state taxes on gasoline, including Congressmen Billy Jones (D-Plattsburgh) and Angelo Santa Barbara ( R-Schenectady) was there.

“I definitely think it needs to continue,” Jones said.

Democratic Gov. Kathy Hochul was initially hesitant to advocate curbing the gas tax, but eventually backed the moratorium law, making relief “important for those who need it most.” It was called a lifeline.

Ho-chul’s spokesman said Friday that her financial plan will be revealed in January when she presents her proposed state budget.

R-Schoharie MP Chris Tague said consumers were struggling and needed relief to get past January. He said it was clear last spring’s suspension should last longer than the one enacted, but Democrats who control both houses of Congress supported a shorter period.

“Democrats are simply refusing to address issues that really hurt New Yorkers.”

Nationwide, pump prices soared to record highs over the summer. They have eased to some extent and have fluctuated in recent weeks.

According to the latest American Automobile Association data, the average price of a gallon of regular gasoline in New York is $3.66, a price that reflects the tax suspension. Nationally, the average price for the same gallon was $3.90.

A portion of the money generated by the gas tax will be used to fund road repairs.

Niagara Falls Rep. Angelo Molinello said he hopes to extend the duty free period beyond the current sunset date.

“The argument that it hurts the road can be overcome by careful budgeting and elimination of wasteful spending,” Molinello said. “A budget is always full of areas that need accountability and cuts. is.”

Opposition to gas tax cuts comes primarily from public transport and environmental advocates, as well as those seeking funding for tax-funded infrastructure projects.

R-Queensbury Sen. Dan Stec said energy costs are expected to rise significantly this winter, so many New Yorkers will suffer financial pain if the tax expires on time. .

“They should have done it for the entire fiscal year,” says Stec. The state’s fiscal year runs from April 1 to March 31, when the next state budget is due to be passed.

“People will have to wait for all energy costs to rise significantly,” the senator said. “We all love our planet and want to do the right thing for the environment, but there are also very real financial and infrastructure realities that cannot be ignored.”

It remains to be seen how the county government will respond to the expiration of the temporary suspension.

Stephen J. Acquario, Executive Director of the New York State County Association, said: “This balancing of interests should be left to local discretion.”

A state’s fiscal situation can influence the debate over gas taxes.

On Friday, state comptroller Thomas DiNapoli said tax collections were ahead of projections through September, with revenues $2.4 billion above projections.

“However, there are economic uncertainties and risks that could affect revenues in the coming months,” he said, adding that state budgets should seek to increase reserves to address future costs. I added that.

https://www.thedailystar.com/news/lawmakers-pumped-up-for-extending-gas-tax-holiday/article_ed953128-4c2e-11ed-b633-e7a04d72450a.html Lawmakers scrambled to extend gas tax ‘holiday’.news

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