Maryland Governor Pushes For Changes In The Gas Tax

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    NEWSLETTERS

    TK
    AP

    Gov. Martin O'Malley is talking transportation Friday and challenging a panel to come up with new and better revenue plans that move away from taxing gas by the gallon.

    O'Malley says the state's 23.5 cent gas tax -- which hasn't been raised since 1992 -- doesn't raise as much as it used to, partly because cars are getting better gas mileage.

    One option would be to apply the state's 6 percent sales tax to gas purchases, instead of taxing by the gallon.

    Gas in Maryland currently sells for $3.90 per gallon, more than $1 higher than at this time in 2010. AAA Mid-Atlantic says Maryland is just 15 cents below its highest-ever gas price of $4.05, set in June 2008.

    Transportation funds depend primarily on gas tax revenues.

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