States Hiking Consumer Taxes
Feel like you've been paying more at the cash register or gas pump? In several states, you can blame it on tax increases.
You are now subscribed
Your newsletter sign-up was successful
Want to add more newsletters?
Delivered daily
Kiplinger Today
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more delivered daily. Smart money moves start here.
Sent five days a week
Kiplinger A Step Ahead
Get practical help to make better financial decisions in your everyday life, from spending to savings on top deals.
Delivered daily
Kiplinger Closing Bell
Get today's biggest financial and investing headlines delivered to your inbox every day the U.S. stock market is open.
Sent twice a week
Kiplinger Adviser Intel
Financial pros across the country share best practices and fresh tactics to preserve and grow your wealth.
Delivered weekly
Kiplinger Tax Tips
Trim your federal and state tax bills with practical tax-planning and tax-cutting strategies.
Sent twice a week
Kiplinger Retirement Tips
Your twice-a-week guide to planning and enjoying a financially secure and richly rewarding retirement
Sent bimonthly.
Kiplinger Adviser Angle
Insights for advisers, wealth managers and other financial professionals.
Sent twice a week
Kiplinger Investing Weekly
Your twice-a-week roundup of promising stocks, funds, companies and industries you should consider, ones you should avoid, and why.
Sent weekly for six weeks
Kiplinger Invest for Retirement
Your step-by-step six-part series on how to invest for retirement, from devising a successful strategy to exactly which investments to choose.
States aren't just looking for creative ways to raise extra revenue (see 10 Surprising Ways Your State May Tax You Next). They're making up for shortfalls with traditional hikes in gasoline, cigarette and sales taxes, too.
The District of Columbia and North Carolina have increased taxes in all three areas over the past year, according to CCH, a publisher of tax information. A total of five states have raised their tax on gas, five have hiked their sales tax and 11 have increased their tax on cigarettes. One state, Florida, lowered its gas tax.
You might have not have noticed that your state recently jacked up its consmer taxes. With our handy list below in mind, those of you who cross state lines during your regular travels might want to think more carefully about when to fill up or where to buy big-ticket items. For instance, with Kentucky’s gas tax rising 40 cents per gallon in the past year, residents of nearby southern Indiana who commute to Louisville each day might want to avoid filling up near work.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Gas tax hikes
California: from 18 cents a gallon to 35.3 cents
Kentucky: from 21.1 cents to 60 cents
Minnesota: from 27.1 cents to 27.5 cents
Nebraska: from 26.4 cents to 64 cents
North Carolina: from 29.9 cents to 31.9 cents
District of Columbia: from 20 cents to 23.5 cents
Sales tax hikes
Arizona: from 5.6% to 6.6%
Kansas: from 5.3% to 6.3%
Massachusetts: from 5% to 6.25%
New Mexico: from 5% to 5.125%
North Carolina: from 4.5% to 5.75%
District of Columbia: from 5.75% to 6%
Cigarette tax hikes
Connecticut: from $2 a pack to $3
Delaware: from $1.15 to $1.60
Hawaii: from $2.60 to $3
New Mexico: from 91 cents to $1.66
New York: from $2.75 to $4.35
North Carolina: from 35 cents to 45 cents
Pennsylvania: from $1.35 to $1.60
South Carolina: from 7 cents to 57 cents
Utah: from 69.5 cents to $1.70
Washington: from $2.025 cents to $3.025
Wisconsin: from $1.77 to $2.52
District of Columbia: from $2 to $2.50
You can see tax rates in each state on CCH's national map of tax rates. Also check out Kiplinger's retiree tax map to see which states are more tax-friendly for retirees.
-
How to Watch the 2026 Winter Olympics Without OverpayingHere’s how to stream the 2026 Winter Olympics live, including low-cost viewing options, Peacock access and ways to catch your favorite athletes and events from anywhere.
-
Here’s How to Stream the Super Bowl for LessWe'll show you the least expensive ways to stream football's biggest event.
-
The Cost of Leaving Your Money in a Low-Rate AccountWhy parking your cash in low-yield accounts could be costing you, and smarter alternatives that preserve liquidity while boosting returns.
-
Skip the Sales Taxtaxes Save money back-to-school shopping in 17 states with sales tax holidays this summer.
-
What to Do If Someone Files a Tax Return in Your NameScams Take these steps if you think you're a victim of tax fraud.
-
2014 Sales Tax Holidays for Back-to-School ShoppingTax Breaks You can shop tax-free for clothing, computers, school supplies and more on certain days in these 16 states.
-
How I Dodged a Phony IRS Tax Scam
Scams Here's what I did to avoid becoming a victim when someone called and tried to rip me off.
-
Traveling? Better Budget for Taxes
Travel You’ll pay plenty for hotels, rental cars and restaurant meals.
-
IRS Warns of E-mail Tax Scam
Scams Watch out for bogus e-mails claiming there's a problem with your 2013 tax return.
-
IRS Has $760 Million in Unclaimed Refunds
taxes Here's how to find out if you're owed money and how to claim it.
-
How to Avoid Tax Scams
Scams Take these steps to lower your risk of becoming a victim of fraud or identity theft during tax season.
