California and Several States Raise Gas Taxes Effective July 1

California drivers will see the state's gasoline tax rise by 2.2 cents per gallon on July 1, bringing the rate to 63.4 cents per gallon, according to the California Department of Tax and Fee Administration. The increase follows the Road Repair and Accountability Act of 2017, which requires an annual inflation adjustment. Combined with the federal gasoline tax of about 18 cents, the total tax on gasoline in California will approach 75 cents per gallon.

Washington will raise its fuel tax from 55.4 cents to 56.5 cents per gallon, also tied to inflation under a newly enacted law. The state says the additional revenue will support highway construction, bridge maintenance, and ferry operations.

Maryland's automatic adjustment will add 0.6 cents per gallon, resulting in a rate of 46.6 cents per gallon. Officials note the change will add roughly 6 to 12 cents to a typical fill-up, depending on volume.

New Jersey increased its gasoline tax to 38.6 cents per gallon and diesel tax to 42.6 cents per gallon on January 1, 2026, after a legislative review. Including the state's fixed motor fuels tax, total rates will be 49.1 cents for gasoline and 56.1 cents for diesel, with further scheduled increases through 2029.

In contrast, Oregon voters rejected a proposed hike that would have raised the state gas tax to 46 cents per gallon, keeping the rate at 40 cents. A similar bill in New Mexico to raise the tax from 17 to 20 cents per gallon was withdrawn shortly after introduction.