California Looks To Suspend Diesel Tax for One Year

A year-long diesel “sales tax holiday” is included in a framework agreement for California’s 2022-23 budget, aiming to help the trucking industry. 

The initiative was announced June 26, as the finishing touches are being put on the state’s budget for the next fiscal year. 

California’s average diesel prices have consistently ranked among the highest in the country. The average reached $6.887 during the week of June 13, the last available week of data from the Energy Information Administration

The budget “addresses the state’s most pressing needs, and prioritizes getting dollars back into the pockets of millions of Californians who are grappling with global inflation and rising prices of everything from gas to groceries,” according to a joint statement from Gov. Gavin Newsom, Senate President Toni Atkins and Assembly Speaker Anthony Rendon.