Indiana drivers welcome relief at the pump as gas tax is suspended for 30 days
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Published on April 9, 2026.
The 7% usage tax on gasoline in Indiana has been suspended for 30 days, bringing prices below neighboring Kentucky. The move is expected to reduce prices by about 17 cents per gallon. Indiana Gov. Mike Braun announced a gas tax holiday to give Hoosiers relief from rising gas prices. The state will monitor gas prices at the pumps and conduct a review after the 30-day suspension. With the temporary tax suspension, Indiana gas prices are running about 20 cents lower than neighboring Kentucky, compared to the 26 cents Kentucky's gas tax. Despite the modest savings, drivers have welcomed the relief, particularly as families struggle to balance rising costs.
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