Missouri Gas Tax Set to Increase

Missouri’s gas tax is set to rise by 2.5 cents next week to the dismay of drivers. Although lawmakers didn’t foresee out of control inflation when they passed the bill in 2021, some have already called for the tax to be suspended until the economy stabilizes.

Missouri’s gas tax rate will increase on July 1. The current rate is 19.5 cents per gallon, and will rise to 22 cents per gallon.

Suspending the tax isn’t likely, but the idea had backing by some Republican lawmakers in the last legislative session. Two bills received support after Russia invaded Ukraine.

July 1 also marks the first date for state refunds for the Missouri gas tax. The tax is refundable for drivers whose cars are 26,000 pounds or less. Drivers can apply for a refund from the Department of Revenue from July 1 to September 30. Eligible receipts are timestamped from October 1, 2021, when the first gas tax increase took effect, to June 30, 2022.

Governor Mike Parson signed legislation into law that would incrementally increase the Missouri gas tax over five years. This is the first time Missouri has seen an increase in state gas tax since 1996. The new law will raise the tax on gasoline and diesel a small amount each year. The final tax level will be 29.5 cents in 2025.

KPGZ News - Brian Watts contributed to this story