Indiana extends its gas-tax suspension as drivers keep a roughly 60-cent-per-gallon break through Nov. 4

Indiana keeps its gas-tax break in place through Nov. 4

Indiana drivers will keep the state’s gasoline-tax suspension through Nov. 4. At October’s published rates, the suspended Gasoline Use Tax and Gasoline Excise Tax total 60.8 cents per gallon. Gov. Mike Braun signed the extension on Sept. 30.

The renewed suspension begins Oct. 6, immediately after the previous order expires. It continues the suspension of Indiana’s Gasoline Use Tax and Gasoline Excise Tax for motorists statewide.

Drivers keep a major fuel-cost break as prices stay elevated

Indiana’s regular gasoline averaged $3.83 per gallon on Sept. 30, according to AAA, while the national average stood at $4.43. That made Indiana’s average about 60 cents below the national figure.

The state’s tax suspension is separate from changes in crude oil and wholesale fuel prices, but it reduces the taxes collected on gasoline. For motorists filling up regularly, the continued suspension can make a noticeable difference in weekly driving costs.

Indiana’s gas-tax suspension now runs through Nov. 4

Indiana will suspend its Gasoline Use Tax and Gasoline Excise Tax from Oct. 6 through Nov. 4 under the latest energy-emergency order. The extension applies to all 92 Indiana counties and continues the tax relief without interruption.

The state has repeatedly extended the suspension as fuel prices have remained high. Drivers do not receive a separate payment from the state. The taxes are collected at the distributor level, and suspending them is intended to reduce the tax component incorporated into retail gasoline prices.

About 60 cents per gallon remains suspended under the extension

Indiana’s two suspended state gasoline taxes represent about 60 cents per gallon in relief, according to state and local reporting. The exact amount a driver saves depends on fuel prices and how tax savings are applied at individual stations.

Even so, the difference can add up for motorists who drive many miles. A driver filling a 15-gallon tank could see roughly $9 in tax-related savings when the full amount is reflected in the pump price.

The tax break covers drivers across all 92 Indiana counties

The latest suspension applies statewide, meaning drivers in all 92 Indiana counties remain covered by the order. That includes commuters, families, delivery drivers, and people who regularly use cars or pickup trucks for work.

Pump prices still vary across cities and individual stations, so the tax suspension does not create a single identical price everywhere. Instead, it removes suspended-state taxes from the fuel distribution system before gasoline reaches consumers.

Indiana’s pump prices remain below the national average

Indiana’s average gasoline price was $3.83 per gallon on Sept. 30, compared with $4.43 nationwide, according to AAA figures reported that day. Indiana’s price was therefore about 60 cents below the U.S. average.

However, the state’s average was still higher than it had been a year earlier. That means drivers are receiving tax relief while also dealing with a broader increase in fuel costs compared with September 2025.

High fuel costs are putting more pressure on car owners

Higher gasoline prices increase the everyday cost of operating gasoline-powered vehicles. The effect can be larger for drivers who commute long distances or own vehicles with lower fuel economy.

Pickup trucks, large SUVs, and some performance cars can consume more fuel per mile than smaller, more efficient models. Indiana’s tax suspension does not change how much gasoline a vehicle uses, but the lower tax burden can reduce the amount drivers spend at the pump.

Farmers and timber harvesters get dyed-diesel relief

Indiana’s latest order temporarily suspends a state restriction on dyed diesel for Indiana farmers and timber harvesters during the energy emergency. The order allows those groups to use dyed fuel in eligible highway transportation during the emergency while keeping other motor-carrier safety requirements and special-fuel restrictions in force.

The order notes that farmers and timber harvesters already maintain dyed diesel for nontaxable off-road use. The temporary change expands its permitted use to include the transport and haulage of agricultural products, as high diesel prices continue to increase transportation and agricultural operating costs.

The extension follows months of rising fuel costs in Indiana

Indiana’s gasoline prices have risen over the past month despite the tax suspension. AAA data showed the state’s regular average at $3.83 per gallon on Sept. 30, compared with about $3.41 a month earlier and $3.09 a year earlier.

That means the current average was about 42 cents higher than a month ago and 74 cents above last year’s level. The tax break has therefore arrived during a period of significant pressure on fuel prices.

Gasoline taxes are only one part of the price drivers pay

The price motorists see at a gasoline station reflects more than state taxes. Crude oil costs, refining expenses, transportation, distribution, and other taxes all influence the final pump price.

Because those factors can change independently, suspending state taxes does not guarantee that gasoline prices will remain at a certain level. Indiana’s policy removes specific state taxes, while drivers remain exposed to changes in the wider fuel market and global energy conditions.

Lower pump prices can matter most for high-mileage drivers

Drivers who travel many miles each week can see fuel savings accumulate faster than occasional motorists. A 60-cent-per-gallon difference on a 15-gallon fill amounts to about $9, while a driver buying 30 gallons would see about $18 if the full difference were reflected at the pump.

Actual savings vary by fuel purchases and station pricing. For commuters and drivers covering long distances, repeated fill-ups can make fuel prices a significant household expense.

The gas break also affects the cost of driving larger vehicles

Fuel prices can have a bigger effect on owners of trucks, large SUVs, and other vehicles that use more gasoline. These vehicles are often used for towing, hauling, family transportation, or long-distance driving, which can increase fuel consumption.

A per-gallon tax reduction does not change a vehicle’s fuel economy, but it can lower the cost of each fill-up. That gives higher-mileage drivers another reason to pay attention to Indiana’s temporary fuel-tax policy.

Walmart says drivers are buying less than 10 gallons as full tanks get harder to afford, showing how higher fuel costs affect shoppers and the companies that move goods.

Indiana drivers get more time to manage high fuel prices

Indiana’s latest extension keeps its Gasoline Use Tax and Gasoline Excise Tax suspended through Nov. 4 while fuel prices remain elevated. AAA data for Sept. 30 put Indiana regular gasoline at about $3.83 per gallon, compared with $4.43 nationally, and Indiana’s average remained above its month-ago and year-ago levels.

For car owners, the order provides temporary tax relief rather than a permanent change in fuel-market costs. Any continuation beyond Nov. 4 would require additional state action.

Oil’s biggest drop in years may slow the rush toward fuel-saving cars, which shows why Costco’s fuel traffic could change if lower oil prices reach local pumps.

Would a roughly 60-cent-per-gallon savings change how much you drive in Indiana?

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This slideshow was made with AI assistance and human editing.