Governor Mike Braun Extends Indiana Gas Tax Suspension

Governor Mike Braun renewed Indiana's state of energy emergency on September 30, extending the suspension of the Gasoline Use Tax and Gasoline Excise Tax through November 4. Effective October 6, the tax holiday remains in place across all 92 counties to combat high fuel prices driven by global oil supply disruptions, including the Russia-Ukraine war and Houthi drone attacks on Saudi Arabia's East-West Pipeline.

As part of the emergency measures, Braun issued an order lifting restrictions on the sale of untaxed, off-road dyed diesel fuel. This allows farmers and timber harvesters to use the fuel for any farm-related activity, including the operation of semi-trucks. The move follows a request from a coalition of over 50 state legislators and comes as Indiana diesel prices hit a record average of $6.92 in September, nearly doubling over the past year.

Indiana House Democratic Leader Phil GiaQuinta supported the diesel relief but characterized it as a temporary measure. GiaQuinta argued that the action fails to address systemic issues, such as rising fertilizer costs and federal agricultural policies that have shifted soybean buyers toward South America.