Lowest gas prices
#1 Alaska
With taxes and fees for gas sitting at 15.13 cents per gallon, Alaska takes the crown for being the state with the lowest gas prices, including the federal gas taxes. This is in part because Alaska is one of the states that is great at oil production and it also gives all residents a dividend based on the fuel sales.
Despite this, this doesn’t translate into very low fuel prices. The average price per gallon at the end of the second week of March is $4.73, which is not that bad but not amazing either. What’s impressive is the fact that the state hasn’t raised its gas taxes since President Richard Nixon was in office. With how volatile the economy is that is commitment!
#2 Mississippi
Mississippi comes in second when it comes to the lowest gas taxes and fees, yet it’s still quite an increase from Alaska. They have about a 5-cent increase compared to them (18.79 cents/gallon). Despite this, it is not that bad, and their state tax has remained unchanged since 1989. Much like Alaska, they are also advantaged by their position: being so close to the Gulf Coast, they get a discount when it comes to oil. Possibly why their average price per gallon was $4.00, lower than Alaska’s.
#3 New Mexico
Since New Mexico also qualifies as part of the Gulf Coast, in the eyes of the standards made by the United States fuel industry, there is not much difference when it comes to their gas taxes and Mississippi’s. Less than 0.1 cents is the reason New Mexico ended up third on our list, but it is still a really good place to be in when it comes to taxes.
Taking into consideration what we said earlier about taxes and prices when we look at New Mexico we can see the example. Despite having a similar tax as Mississippi, New Mexico’s average fuel price in the same period is $4.18. It may not seem like much, but when getting a full tank, you will see a difference.
