Gas prices drop, but taxes make Illinois pricier than Midwest neighbors
Gas prices in Illinois have fallen in recent weeks, but the state still has the highest fuel costs in the Midwest. Despite a drop to an average of $2.99 per gallon on Friday, drivers continue to pay more than in neighbouring states. The main reason remains Illinois’ steep motor fuel tax, which ranks as the second-highest in the US.
The state’s gas tax climbed to 48.3 cents per gallon on 1 July 2022 after an automatic inflation adjustment. This increase followed Governor J.B. Pritzker’s 2019 decision to double the tax from 19 cents to 38 cents per gallon as part of the Rebuild Illinois capital plan, signed into law on 28 June 2019.
Prices now vary across the state. State Rep. Brad Halbrook, a Republican from Shelbyville, reported costs in his district ranging from the mid-$2.40s to the upper $2.70s and low $2.80s. Meanwhile, neighbouring Iowa and Wisconsin offer cheaper fuel at $2.47 and $2.50 per gallon, respectively. State Sen. Celina Villanueva, a Democrat from Chicago, noted that affordability remains a frequent topic among lawmakers. Without the high tax, analysts suggest Illinois prices could sit around 30 cents lower, potentially in the $2.15–$2.20 range.
The average price for regular gas in Illinois has fallen from $3.27 a month ago to $2.99. Yet, due to the state’s tax policies, drivers still face higher costs than in nearby regions. The current tax rate of 48.3 cents per gallon keeps Illinois at the top of the Midwest for fuel expenses.
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