by: Jim Strickland Updated:
ATLANTA - Gov. Nathan Deal signed an executive order to freeze the state gasoline sales tax at 12.1 cents per gallon on Friday. The move would save Georgians tens of millions of dollars as they fill up their vehicles. It is the second time in less than a year the governor has signed such an order.
The tax is based on a formula composed of prices on all three grades of gasoline sold across the state. Sources told Strickland that higher prices charged this spring were still figured into the formula even though gasoline prices have recently fallen to fall 2011 levels.
The tax freeze does not affect local option sales taxes, which will still go up a fraction of a cent per gallon.
State revenue figures show Georgia collected $95 million more in gas taxes through May in fiscal 2012, compared with the same period last year, when the tax averaged just 10.5 cents.