Michigan’s tax on gasoline and diesel fuel would be suspended for three months under legislation passed by the Senate this week. Currently, Michigan imposes a 27.2 cents per gallon excise tax on gasoline and diesel fuel, and the price of both fuels are subject to the state’s 6% sales and use taxes. The bill introduced by Senator Roger Victory (R-Georgetown Twp) creates a tax holiday from June 15 to September 15 and provides $300 million for local governments to cover revenue lost during the gas tax holiday. Additional bills would suspend the state’s 6% sales and use taxes on motor fuel for the same time period. The bills will be sent to the House for consideration.
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