JACKSON, Miss. (WJTV) – Lt. Governor Delbert Hosemann (R-Miss.) proposed a suspension of a 18.4-cent gas tax that is currently held by Mississippi. This comes as gas prices have skyrocketed amid the ongoing conflict between Russia and Ukraine.
The plan is part of the amended house bill 5-31, the speaker’s income tax cut bill. The bill which includes senate language, would reduce the grocery tax from seven to five percent, along with offering a rebate of $1,000 for all eligible citizens.
“The No. 1 concern citizens are discussing around their kitchen tables is the increased cost of goods and services,” Hosemann said. “Reducing what Mississippians are paying at the pump is direct and immediate relief to families.”
According to Hosemann, suspending the gas tax for six months would cost nearly $215 million. Under his proposal, entities that receive a diversion from the gas tax would be made whole through the Capital Expense Fund.
“What we proposed is sustainable for Mississippians without putting us in the prospect that we can’t for example, pay for the teacher pay raise.”
Also on Monday, a strike all was offered to the senate’s income tax cut bill. It passed in committee and made its way to the house floor, where it passed there. The houses income tax bill, passed in committee and is expected to be taken up on the senate floor Tuesday morning.
The lt. governor said he hasn’t had a chance to meet with Governor Tate Reeves on his proposal to suspend the gas tax.