HARTFORD- As gas prices continue to skyrocket State Rep. Lawrence Miller (R-122), a member of the Energy and Technology Committee, said to he will support legislation that caps one of Connecticut’s two taxes on gasoline sales.
The proposed legislation would cap the gross receipts tax whenever the wholesale price of gas hits $3 a gallon. The cap would have gone into affect on Monday February 13th, the first time this year the wholesale price hit $3.00 for a gallon of gas.
The gross receipts tax fluctuates when the wholesale price of gasoline fluctuates. Connecticut’s Gross Receipts Tax is collected at the wholesale level. The gasoline retailers who purchase the fuel from wholesalers ultimately pass the cost of the gross receipts tax they pay onto consumers.
“Connecticut currently has some of the highest gas taxes and gas prices in the country. This gross receipts tax adds about another 25 cents or more per gallon. In simpler terms, this tax is punitive because as the price of gasoline increases, so does the tax,” Miller said.
“We need to cap this hidden tax. Consumers are getting whacked a second time and don’t even realize it,” Miller said.
Rep. Miller hopes to get a public hearing on the proposal before the end of the legislative session.