What is New York’s gas tax holiday and how ex-pats can benefit from it?
As per the new policy aid down by the Biden Government, the gas tax (fuel tax) has taken a leave for seven months in New York City. To facilitate the citizens of New York City during the price surge of fuel, the government has taken the initiative to ditch the state tax on fuel.
The state budget for April included a version of the proposed gas tax. From June 1 through December 31, the state’s motor fuel and sales taxes will be waived, resulting in a 16-cent per gallon fall in the value for drivers at New York gas stations. This is a law passed in the Senate to aid the public amidst increasing petrol prices. You should get in touch with a personal tax consultant in Toronto to know more about the gas tax holiday before the moratorium comes to an end in September.
Context of the bill
The gas tax was sent on a holiday temporarily as the fuel price kept surging exponentially for the last few months. Joe Biden describes the new policy on gas tax holiday as a ‘bit of relief’. The hiatus, which would end in September, is intended “to have no significant effect on the Highway Trust Fund,” which is funded by fuel taxes, according to the White House. The administration estimates that the three-month moratorium will cost the trust $10 billion, but that other sources of revenue would make up for the shortage.
The brighter side of the gas tax holiday
The average American driver would save $2.75 on each fill-up of a 15-gallon tank and thanks to the gas tax holiday. Between July and January, if you refilled once per week, you would save a little bit more than $40. As of now, 5 states are included in the gas tax holiday bill – Maryland, Florida, Connecticut, Georgia and New York.
Benefits for the ex-pats
New York ex-pats can avail of the advantages of the gas tax holiday bill to save more dollars. Ex-pats can save up to $18 per gallon of fuel and that amounts. The waive-offs collectively will accumulate a lump sum after the hiatus. If you want to know more about the gas tax holiday and how it works, contact the ex-pats tax consultants in Toronto.
You can ask a professional tax consultant to help you with the requirements and everything related to tax in Toronto.
