CHICAGO (WBBM Newsradio) — Illinois drivers will see a slight increase at the pump beginning Tuesday, as the state's gas tax is set to rise under a 2019 law that ties the annual hike to inflation.
Starting July 1, the state motor fuel tax will increase to 48.3 cents per gallon for regular gasoline and 55.8 cents for diesel, according to the Illinois Department of Revenue.
"I don't expect many motorists will likely even notice the increase," said Patrick DeHaan, head of petroleum analysis at GasBuddy. "But certainly this is a troubling trend that Illinois continues to lead all of our neighbors in terms of higher gasoline taxes."
With additional state, local and federal levies, total gas taxes in Illinois now exceed 60 cents per gallon, ranking second nationwide behind California, and just ahead of Pennsylvania.
"Illinois continues to have the highest gasoline tax of any of our neighbors," DeHaan noted. "And we continue to have the highest gas prices of any of our neighbors as well."
That price gap may push more drivers to fill up outside the state.
"There are many different options for motorists to simply cross the border into Wisconsin, where gasoline prices are going to now be even more significantly lower than that of Illinois," DeHaan said. "Unfortunately, the state is going to lose out on some of the increase in tax revenue because it's simply pushing motorists to fill up in other areas that are lower taxed."
Fuel tax revenue in Illinois is dedicated to infrastructure projects under the state's "transportation lockbox" amendment, which restricts the use of those funds to road and transit improvements.
Despite the tax hike, DeHaan noted that the average price of gas in the Chicago metro area remains below last year's levels, about $3.67 per gallon, down from $4.12 in 2024.
