New Jersey Gas Tax to Increase January 2024

New Jersey's gas tax will increase by 2.6 cents per gallon starting January 1, 2025, raising the total tax on gasoline to 44.9 cents, following the passage of a transportation funding bill supported by several Republican lawmakers. This adjustment is part of a new law aimed at ensuring adequate funding for the state's Transportation Trust Fund (TTF) through 2029, which will see revenue targets increase significantly each year. The law mandates that the Petroleum Products Gross Receipts Tax (PPGRT) be adjusted to meet statutory revenue goals, which will rise from $2.032 billion in FY2025 to $2.366 billion by FY2029. State Treasurer Elizabeth Maher Muoio emphasized that this funding is crucial for maintaining and improving New Jersey's transportation infrastructure. Additionally, a new annual fee for zero-emission vehicles will be introduced, starting at $250 in 2024. The increase will keep New Jersey among the states with the highest gas taxes in the country.