HARTFORD, CT (WCBS 880) – Why are gas prices so high in Connecticut? It’s because consumers pay two state taxes at the pump.
WCBS 880 Connecticut Bureau Chief Fran Schneidau On The Story
On top of the 25 cent a gallon state tax is a floating tax that rises and falls with the price of gas.
State Senator Len Suzio says this gross receipts tax is now bringing in another 25 cents a gallon.
He notes oil prices are already creeping up because of tensions with Iran, and the higher the price, the more taxes Connecticut consumers pay at the pump.
“With the threat of Iran doing what it’s threatening to do, that alone could push the price of gas upwards towards $5 a gallon,” Suzio told WCBS 880 Connecticut Bureau Chief Fran Schneidau.
That would be devastating, says Suzio, who has drafted legislation to cap this floating gas tax in Connecticut.
Mike Fox, who heads Connecticut Gasoline Retailers, backs Suzio’s proposal.
“That tax just keeps increasing without any legislative action, without any public hearings, without anything,” Fox said Thursday.
Suzio says the state is taking in excessive profit as a result of the tax.
“In the last two years, Connecticut’s reaped over $85 million of windfall tax collections above what we had budgeted because of the price of gas going up,” said Suzio.
Do you agree with Suzio’s proposal? Sound off in the comments section below!