Rep. Batinick Introduces Bill to Cap Gas Sales Tax in Illinois

SPRINGFIELD – On Friday, State Representative Mark Batinick (R-Plainfield) filed legislation to cap sales tax on gas in Illinois. House Bill 5723 caps the sales tax on gas at 18 cents per gallon for motor fuel and 80% of that amount for gasohol and biodiesel.

“This is a commonsense solution at a time when we are facing record high gas prices in Illinois,” said Rep. Batinick. “Because the state charges a percentage on the cost of gasoline for sales tax, there is a huge government windfall of money when these prices spike. The state should not experience this bump in revenue on the backs of consumers—particularly middle and lower income consumers—who are already suffering financially from inflation and high gas prices. This legislation will put a cap on the sales tax to eliminate this windfall and help Illinois families in these financially difficult times.”

According to AAA, the gas price average is $4.565 for Illinois and $4.325 nationally, as of March 14th, 2022. In the Chicago Metro area, AAA also reported the highest recorded average gas price on March 11th, 2022 for regular unleaded gasoline ($4.673) and March 14th, 2022 for diesel ($4.984).

This legislation is written to go into effect 30 days after it is signed into law. Rep. Batinick is a member of the International Trade & Commerce Committee.