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.
Sign up for Kiplinger’s Free E-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.
-
Trump Targets Student Loan Forgiveness: Here’s How Taxes and Repayment Could Soon ChangeStudent Loans The so-called One Big Beautiful Bill and the Trump administration’s executive action are making the future of student loan forgiveness and its tax consequences uncertain.
-
California, South Florida, Long Island, New Jersey: The Places People Are Leaving in Droves in 2025Skyrocketing costs and shifting priorities mean people are packing up and leaving some cities and states in droves, while others are flocking to more affordable or lifestyle-friendly destinations.
-
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.
