ATLANTA – Gov. Nathan Deal has frozen Georgia’s gas tax, preventing an increase that would have kicked in July 1.
Deal signed an executive order freezing the gas tax at current levels. Aides say that will save motorists an estimated $40 million in taxes.
The state gas tax had been set to rise 1.6 cents a gallon next week, as a result of a formula tied to fuel prices. Deal signed the order Thursday.
Deal had declined to step in and freeze the state sales tax when it rose by nearly 3 cents a gallon on May 1.
Spokesman Brian Robinson said Friday the Republican governor decided to act this time because the state sales tax would be rising even as the price of gas is falling and Georgians had already been hit with an increase in May. The tax would rise because it is based on average gas prices over six months.