This browser does not support the Video element.
Gov. Kemp signs income & gas tax relief bill
On Friday, Mar. 20, 2026, Governor Bian Kemp of Georgia signed two income and gas tax relief bills delivering nearly 1.2 billion dollars in state income tax relief for Georgians and suspending the state's motor fuel tax for 60 days. This comes after soaring gas prices due to conflict in Iran.
ATLANTA - Gov. Brian Kemp signed two bills Friday aimed at putting money back in the pockets of Georgians.
What we know:
One measure temporarily suspends the state gas tax for 60 days as fuel prices climb amid tensions involving Iran. Drivers may not see immediate relief at the pump, as it can take time for stations to adjust prices.
What we know:
The second measure provides one-time income tax rebates. Under the plan, individuals will receive $250, heads of household $375, and married couples filing jointly $500.
Gas prices in metro Atlanta are averaging about $3.84 per gallon for regular fuel, according to GasBuddy — up slightly from the day before and significantly higher than last week and this time last year. Diesel prices are averaging around $5.25 per gallon. Statewide, the average for regular gas is slightly lower at $3.79.
Georgia’s gas tax typically adds about 33 cents per gallon for regular fuel and 37 cents for diesel.
This marks the fourth time in recent years state leaders have paused the gas tax. Similar suspensions were put in place in 2022 during the war in Ukraine, again in 2023 amid inflation, and in 2024 following Hurricane Helene.
RELATED STORIES
- 'Hard to survive': Atlanta truckers feel the squeeze of diesel price hike
- Gas prices jump again overnight in Georgia
- Relief at the pump: Plan to suspend gas tax heads to Georgia Senate
- Gas prices spike in Georgia as national average climbs above $3
- Gas prices soar in Georgia following Israeli strikes on Iranian oil
Dig deeper:
Despite the suspension of the gas tax, it will still be more expensive than it was a year ago since the cost has gone up more than $1 per gallon. Here are some tips to help drivers save on costs:
- Use apps to find cheaper gas nearby. Tools like GasBuddy can help you compare prices and avoid higher-cost stations.
- Take advantage of grocery store fuel rewards. Many chains offer points for purchases that can be redeemed for discounts at the pump.
- Drive smoothly and avoid rapid acceleration. Quick starts and hard braking can significantly lower fuel efficiency.
- Keep your tires properly inflated. Underinflated tires create more resistance and cause your vehicle to burn more fuel.
- Limit idling whenever possible. Turning off your engine when parked or waiting can save gas over time.
- Combine trips to reduce driving. Planning errands in one outing helps cut down on total miles and fuel use.