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Gas Tax Break Set to End, Pressure Builds to Cut Additional Fuel Taxes

By: Charlotte Burke • April 24, 2026 • Indianapolis, IN
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(INDIANAPOLIS) - Indiana's temporary gas tax break is set to expire in early May, and attention is now shifting to whether even deeper relief could follow.

Governor Mike Braun suspended the state's gasoline sales tax through May 8, saving drivers roughly 23 cents per gallon for now. He has not said whether he will extend that pause.

At the same time, some lawmakers are pushing for a broader move--cutting or suspending Indiana's excise tax on gasoline, which currently adds about 36 cents per gallon.

That proposal would go beyond the current relief and could have a larger impact on prices at the pump, but it would require support from the legislature.

Gas prices in Indiana are averaging around $3.69 per gallon, according to GasBuddy--about 60 cents higher than this time last year.

If the current tax holiday is not extended, drivers could see an immediate jump in prices once it expires.