Multiple states installing new gas tax this week as others plan to soon follow suit

With summer in full swing, gas prices are shifting into high gear.States across the country are increasing their gas tax right as the Fourth of July weekend approaches — happy birthday, America.The time comes as pump prices are still 40% higher than in February. And the state with the highest gas tax in the nation is set for another big increase.

California is in the lead, according to the California Department of Tax and Fee Administration, but is still set to increase by 2.2 cents per gallon.This takes California’s gas tax to 63.4 cents per gallon — and every cent counts.The move is in accordance with the Road Repair and Accountability Act of 2017, a state law mandating an annual inflation adjustment.Starting on Wednesday, July 1, 2026, California drivers will notice the following:This means that, combined with the state’s federal gas tax of about 18 cents, Washington drivers will pay nearly 75 cents per gallon in state and federal taxes.The Golden State isn’t the only place hiking its gas tax.

A fuel tax in Washington will rise from 55.4 cents to 56.5 cents per gallon.Similarly, the newly implemented state law is tying fuel taxes to inflation.This will be historic for the state as it’s the first annual inflation adjustment required under a newly passed bill. The law increased Washington’s gas tax by 6 cents per gallon back in 2025.All drivers will begin paying the new rates as of July 1, 2026, along with an increased aircraft fuel tax starting November 1, 2026.

The new aircraft tax will rise to 25 cents per gallon.The state revealed that funds from the increase will support Washington’s highway programs, helping to construct and maintain roads, bridges and ferries.Maryland drivers are also set to see an increase on July 1 as the state’s annual gas tax adjustment comes into force.The automatic increase raises the gas tax by 0.6 cents per gallon.This brings it to 46.6 cents per gallon under state law, which is tied to inflation.For the avera...