Legislature moves closer to suspending motor fuel tax for 1 year

The state House has passed legislation that would suspend Alaska’s 8-cents-a-gallon motor fuel tax for a year to help consumers pinched by high prices at the pump.

The bill was scheduled for its first committee hearing in the Senate this week as lawmakers push toward their May 18 adjournment deadline.

The measure also would suspend to June 30, 2023, the state tax on marine fuel (5 cents a gallon) and aviation gas (4.7 cents a gallon).

The legislation says dealers “shall reduce the cost of fuel to the final consumer” by the amount of the tax break, though there is no enforcement mechanism and t...


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