Rockland Cap On Gas Tax Goes Into Effect

ROCKLAND COUNTY, NY — Rockland County's temporary cap on the local sales tax for motor fuel goes into effect Wednesday, as well as temporary suspension of the state's excise and sales taxes at the pump.

Under the county's part of the program, local sales tax will only be applied to the first $2 of a gasoline purchase, Rockland County Executive Ed Day and County Legislature Chairman Jay Hood Jr. reminded residents in an announcement Tuesday.

"We hope this temporary stopgap measure provides some relief to families who are now struggling with skyrocketing inflation and gas prices," Day said in the announcement.

The 2022 New York State budget provides a suspension of the state excise and sales taxes on motor fuel, providing a combined 16 cents per gallon savings to consumers from June 1, through Dec. 31.

To provide additional savings to Rockland County families, the County Executive and County Legislature capped the local sales tax on motor fuel at $2 effective June 1, through Feb. 28, 2023, two months longer than New York State’s tax suspensions.

"We are all feeling the pinch as the prices of everything have increased, but people still need to get to work, take their kids to school and summer camp, go to the doctor and grocery shop," County Legislature Chairman Jay Hood Jr. said in the announcement. "They need to put gas in their car and hopefully this will bring some relief to Rockland County families."

Here's how it will work locally: Rockland will only collect its sales tax on fuel up to $2 per gallon — and not apply the tax to the rest of the per-gallon cost.

At the current price of gasoline, this cap will generate approximately 8 cents in additional savings for consumers which, when coupled with state tax suspensions, should result in an estimated 24 cents in relief per gallon at the gas pump starting this summer, they said.

Consumers should remember that these savings only affect taxes and not the price of gas — which is likely to continue rising due to several factors including increased prices in crude oil and higher demand by consumers.

Day said the federal government should tackle the issues driving up costs across the board.

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