Business & Real Estate

Statewide excise tax on gasoline dips 2.2 cents

The statewide excise tax on gasoline will decline by 2.2 cents per gallon on Friday.

The lower rate will reduce the excise tax rate from 30 cents a gallon to 27.8 cents per gallon for the 2016-17 fiscal year, which runs from Friday through June 30, 2017.

The change was approved in February by California’s Board of Equalization.

This marked the third consecutive year that BOE has lowered the rate.

However, experts stress that paying a reduced excise tax on gasoline may not translate to lower overall prices at in-state gas pumps.