MONTICELLO- Assemblywoman Aileen Gunther (D – Forestburgh) has encouraged the Sullivan County Legislature to enact a temporary cap on the county’s gas tax.
The state budget enacted in April suspended the state’s eight cents per gallon motor fuel tax and the four percent sales tax per gallon from June 1st until the end of the year. Since the state’s sales tax on gasoline is already capped at two dollars, this equates to a 16-cent savings per gallon.
Unfortunately, though, gas prices co0ntinue to rise daily across the region, causing many to question if the gas station owners are pocketing the tax money and hiking the prices.
“Just across the border in Pike County, PA, gas prices are around 20-cents higher than they are here in Sullivan County. So we’re seeing that the state’s action on gas taxes has worked. It’s important that Sullivan County follow suit to help our residents save further,” Gunther said.
Twenty-five counties have opted-in to temporarily establish a cap on their gas tax, including two of Sullivan County’s neighbors. Delaware and Ulster counties have limited collection to the first two dollars of each gallon sold.
Gunther said the state budget also includes property tax rebate checks to homeowners and an
acceleration of the middle-class tax cuts. “We need to do everything we can to put money back into people’s pockets. We should be seeing those rebate checks in the mail soon, and the income tax reductions for families making under $250,000 will be in effect next year,” she said.
The state estimates that suspending the gas tax will provide more than $600 million in relief to New Yorkers.
“It is unfortunate that the Assemblywoman does not understand that we are a sales tax-based economy,” Sullivan County Legislature Chairman Rob Doherty responded. “By cutting that sales tax – even for a temporary period – we are cutting critical revenues during our busiest time of year, which will most assuredly lead to financial hardships for the rest of the year.”
The chairman said those revenues “go towards providing services and programs that our taxpayers rely on. Exchanging those for short-term savings is shortsighted and a knee-jerk reaction that will ultimately cost taxpayers far more than a few cents at the pump.”
He said, “These challenging times demand fiscal responsibility, not election-year politics.”
