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Why filling up will cost more in Clark County despite a potential federal gas tax holiday

Because of a state law, the gas tax holiday won't lower Nevada gas prices.
Published: Jun. 22, 2022 at 12:54 PM PDT
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LAS VEGAS, Nev. (FOX5) - Politicians and President Joe Biden are considering a federal gas tax holiday, which would lower gas taxes around the country by 18.4 cents.

In Nevada, the gas tax holiday wouldn’t apply due to a little-known state law. Nevada Revised Statute 365.185 says that if the federal gas tax decreases, Nevada will raise the state gas tax to match whatever reduction the feds do, basically defeating the purpose of the idea, at least for Nevadans.

FOX5 reached out to Governor Steve Sisolak’s office to see if he would consider a gas tax holiday for Nevada.

The State is awaiting further information on what may happen at the federal level in regards to a gas tax holiday or other relief measure.

Meghin Delaney, Communications Director

Meanwhile, many drivers continue to struggle around the state under record high gas prices.

“Two years ago, I was filling up for what $2.55 per gallon for premium. Things have changed now,” Michael Porter, who switched to riding a moped, said.

Another reason why gas prices are higher in Las Vegas verses Pahrump over in Nye County is because Clark County voters approved a Fuel Revenue indexing gas tax back in 2016 that increases gas taxes annually through 2026. That means gas in Clark County will go up 1.6 cents on July 1.

Once the gas tax increase goes into effect July 1 in Clark County, the combined federal, state and RTC county tax will mean 88 cents of every gallon of gas pumped will go toward taxes, and and even if the feds eliminate the gas tax, our taxes will not drop in Nevada unless the governor calls a special session of the legislature and Nevada law is changed.

In the mean time, expect more pain at the pump.