Felag Proposes 5-Cent Cut in Gas Tax

Sen. Walter S. Felag is proposing that Rhode Island cut its statewide gas tax from 32 cents to 27 cents per gallon in order to keep local businesses competitive with Massachusetts.

  In his quest to revitalize the East Bay, Sen. Walter S. Felag Jr. (D-Dist. 10, Warren, Bristol, Tiverton) has proposed a 5-cent-per-gallon cut in the state gas tax in hopes that local businesses stop losing customers to Massachusetts. A 5-cent per gallon cut in Rhode Island’s gas tax will impact the state’s tax revenues, but with the gas tax in Massachusetts a full 10 cents a gallon lower than in Rhode Island, Felag said he is more concerned about local stations losing business to stations just across the border. Read the bill here: 2013-S 0085. “If our gas tax continues to be so high, and so much higher than taxes in Massachusetts, our state should be concerned about how much revenue will be lost if Rhode Island stations close because …

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