Maryland Drivers Will Pay More At The Pump Starting July 1

Maryland drivers will soon pay slightly more at the pump as the state’s gas tax is set to increase on July 1.

The Maryland Comptroller’s Office announced that the motor fuel tax rate will rise from 46 cents to 46.6 cents per gallon, a 1.3% increase over the current rate. Diesel fuel taxes will also increase, climbing from 46.75 cents to 47.45 cents per gallon, a 1.5% increase.

State law requires the Comptroller’s Office to recalculate fuel tax rates annually based on inflation. This year’s adjustment marks the first increase after gas tax rates declined for two consecutive years.

According to the Comptroller’s Office, the updated rates are calculated using changes in the Consumer Price Index (CPI), as reported by the U.S. Bureau of Labor Statistics. The annual adjustment is tied to inflation and reflects year-over-year changes in consumer prices through April 2026.

The increase comes as Maryland drivers continue to face elevated fuel costs. AAA reports the average price of regular gasoline in Maryland was $4.14 per gallon as of June 2. While that is down from last month’s average of $4.26, it remains significantly higher than the $3.04 average recorded at the same time last year. The current national average stands at $4.29 per gallon.

Fuel prices have climbed sharply in recent months following geopolitical tensions and ongoing conflict in the Middle East. Gas prices surged throughout the spring, with some reports showing costs rose by more than 50% during May.

“Although Middle East geopolitical shocks triggered a spike in gasoline prices beginning in early March, the average price over the full 12 month determination period was lower than the prior year,” the Comptroller’s Office said in its report.

Federal fuel taxes remain unchanged at 18.4 cents per gallon for gasoline and 24.4 cents per gallon for diesel fuel.

State officials also noted that another gas tax increase is likely in July 2027 if inflation trends continue.

Maryland House Republicans criticized the increase, arguing that residents are already struggling with higher fuel costs.

“Marylanders are struggling with high gas prices. While we cannot control federal policy in the Middle East, we can control Maryland’s tax policy here at home,” House Republicans said in a statement.

Maryland Drivers Will Pay More At The Pump Starting July 1 was originally published on 92q.com