Serves the Commercial Small Fleet Market of 10 – 50 Vehicles

States Consider Fuel Tax Exemptions

May 17, 2006

As reported in<\i>, legislators in Georgia, South Carolina and Connecticut are urging approval of temporary fuel tax exemptions. In Georgia, Gov. Sonny Perdue suspended the 7.5-cent fuel tax for a month following Hurricane Katrina. House Democrats are now asking for an additional two months suspension.House members in South Carolina have approved a budget amendment suspending the state’s fuel tax, nearly 17 cents per gallon, between Oct. 1 and Dec. 31. Lawmakers pointed out that moving the tax break from the summer months to the fall favors residents over tourists. With this year’s budget surplus set to replace the resulting $100 million in lost tax revenue, the repeal moves to a Senate conference committee.Gov. Jodi Rell of Connecticut has expressed an interest in suspending the state’s 25-cent fuel tax over the summer,<\i> reports. On the national front, U.S. Senator Charles Schumer of New York has asked the Federal Trade Commission to closely monitor oil refining capacity and prices during the peak season when refineries go offline in order to switch to summer fuel blends.
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