Gov. Braun extends IN gas tax suspension, maintaining lowest prices nationwide

ST. JOSEPH COUNTY, Ind.--- Indiana is seeing some of the lowest gas prices nationwide as Gov. Mike Braun continues to extend the gas tax holiday.

The suspension is to mitigate the high prices caused by the war with Iran, now in its third month.

Prices at the pump have seen a decline in recent weeks, confirmed by Patrick DeHaan, head of petroleum analysis for GasBuddy.

"The biggest drops and the lowest prices are in Indiana," he said. "South Bend, down $1.30 in the last 30 days."

This is the third time Braun has suspended both the gas use tax and gas excise tax; now, it won't go back into effect until July 7.

It's a relief for Hoosiers who saw $4.99 average gas prices in late April because of refining issues on top of the war, but now the average is $3.50.

"Refining issues have been resolved. Taxes have been suspended. Oil prices have declined. So, while that perfect storm pushed prices up a little over a month ago, now it's kind of a trifecta pushing prices down," DeHaan said.

That decline in oil prices was because the United States was seemingly close to a deal with Iran in the ongoing war, DeHaan said. However, in recent days, that trend is reversing.

"It's looking like a deal may not be as imminent, so oil prices have bounced back up," he said.

Even with the gas tax holiday, drivers like Kenneth Taylor are still feeling the pain at the pump.

"If we weren't fighting a senseless war, I'd be okay with it. But we're fighting a war that's not any of our business," Taylor said. "We're fighting a war that doesn't have anything to do with the United States. That has something to do with power. It's a power thing."

It's especially painful for those with long commutes, like Kylie Gilbert.

"I work two hours away," Gilbert said. "It takes a whole tank of gas to get to one place."

"Why should we pay more for gas than we pay for food?" Taylor said.

"Bills are already hard enough right now for a lot of people, and you add gas on top of it," Gilbert said.

Braun announced the repeat suspension on Wednesday, touting it will save Hoosiers 62 cents per gallon.

"Even if a jump does occur in the next couple of days, Indiana prices are still going to be much, much lower than neighboring states," DeHaan said.

But like any holiday, this gas tax holiday can't last forever. Eventually, the tax will come back, a worrisome fact to Taylor and Gilbert.

"I think a lot of people are going to really struggle, and I think that that's going to cause a whole other issue in itself, and a lot of employers are going to have issues with employees not coming in because of gas," Gilbert said.

"If you’re going to do something, do it. Don't keep delaying something that you're going to do anyway," Taylor said.

The seven percent tax, however, was to be used to help fund roadwork in the state, so that money is not flowing in while the suspension persists.

DeHaan also noted the gas tax suspension is for gasoline only; it does not apply to diesel, which is still more than $5.50 a gallon on average. So, truckers shipping goods statewide are still feeling that extra pinch.