Politics & Government

Virginia Gas Prices Down, Sales Taxes Up on July 1

Virginia's transportation funding bill goes into effect July 1 with lower gas taxes at the pump, but higher taxes and fees elsewhere.

by Beth Lawton

Just ahead of Fourth of July weekend, the price of gas in Virginia will be dropping.

You can thank your state representatives and senators, who passed a transportation bill earlier this year. It goes into effect July 1.

Find out what's happening in Fairfax Stationwith free, real-time updates from Patch.

Taxes on a gallon of regular gas will go down about 6 cents per gallon in Virginia. Instead of 17.5 cents per gallon, Virginia motorists will be paying about 11.7 cents per gallon in taxes on regular unleaded gasoline, according to the Virginia Petroleum, Convenience and Grocery Association. (The decrease may be slightly less in Northern Virginia, thanks to local taxes for transportation projects.)

But you’ll be paying more elsewhere: Also on July 1, Virginia’s sales tax will increase from 5 percent to 5.3 percent, the motor vehicle sales tax increases from 3 percent to 4.3 percent and residents will higher annual fees for hybrid car drivers.

Find out what's happening in Fairfax Stationwith free, real-time updates from Patch.

The controversial transportation bill could raise $880 million a year for roads and mass transit.

Just across the District, the story is totally different: Maryland’s gas prices are going up July 1 by a few cents per gallon with a very different transportation funding package passed by that state legislature.

“Because of the shift in motor fuel tax policies in the statehouse, Maryland could emerge as one of the most expensive places in the country to purchase gasoline in the long run, consumers fear. Yet, motorists in Virginia will benefit from having one of the cheapest gasoline price-points in the nation,” said John B. Townsend II, AAA Mid-Atlantic’s Manager of Public and Government Affairs, in a press release.

AAA also projected earlier this month that gas prices will continue to decline through the remainder of June.

Right now the average price of gas in Arlington is $3.69. In Alexandria and Fairfax, it’s $3.66.

Enter your ZIP code here to find the average (and cheapest) gas in your area.


Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.

We’ve removed the ability to reply as we work to make improvements. Learn more here

More from Fairfax Station