New Tax Increase In CT Announced: What To Know

CONNECTICUT — Diesel fuel is about to get more expensive in Connecticut as the state increases its tax by 23 percent.

The new diesel fuel tax rate will increase by 9 cents per gallon on July 1, up to a total of 49 cents, according to the Hartford Courant. State Tax Commissioner Mark Boughton announced the new rate hike Wednesday to legislators.

The diesel tax is calculated through a complicated formula that is based on the wholesale diesel price. The expected increase was the subject of much speculation.

The average price of diesel in Connecticut is $6.17 per gallon as of Wednesday, which is nearly $3 more than a year ago, according to AAA. The price has dropped from its high of $6.44 per gallon set on May 18.

Gasoline prices continue to rise, with the average Connecticut price just shy of $5 per gallon Wednesday. Connecticut’s average is a few cents below the national average.

Republican gubernatorial candidate Bob Stefanowski called on Gov. Ned Lamont to suspend all state taxes on gas and diesel fuel.

“He raised taxes by $1.8 billion his first year in office, tried his best to put up tolls, settled for the truck tax, and today, with inflation at its highest level in 40 years, raised the diesel tax by over 20%, Stefanowski said. “Higher costs for goods means higher inflation, and an even more expensive state.”

Legislative Republican leaders decried the increase as well and said it was another blow to affordability in Connecticut.

"What's so infuriating is that this tax increase is something Connecticut Democrats and Gov. Lamont knew was coming and could have stopped," Senate Republican Leader Kevin Kelly and House Republican Leader Vincent Candelora said in a statement "Connecticut Democrats voted against Connecticut Republicans' proposals to cut the diesel tax during the legislative session."

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Lamont so far has rebuffed proposals to suspend the diesel tax and said much of it is paid for by out-of-state truckers, according to WFSB.

Connecticut suspended its 25-cent per gallon excise tax through Dec. 1.