Gas, vehicle registration taxes set to increase Jan. 1

LANSING — With 2017 just a few days away, drivers across the state will soon have to shell out more money when it comes to filling their gas tanks.

That’s because the state’s gasoline tax is set to increase seven 7.3 cents a gallon, raising the current gas tax from 19 cents to 26.3 cents a gallon. Drivers can also expect to pay 20% more in vehicle registration fees.

The increases are part of a series of bills Gov. Rick Snyder signed into law last year that’s expected to provide over a billion dollars each year in road funding come 2021. In May of 2015, Michigan voters overwhelmingly turned down a proposal to increase the state’s sales tax and gas tax.

Five months later, the legislature passed legislation to increase those transportation taxes.