Gov. Brian Kemp signs 60-day gas tax suspension, $1.2 billion tax rebate bills

ATLANTA, Ga. (Atlanta News First) — As inflation rises and the war surrounding Iran continues to drive up oil prices worldwide, Gov. Brian Kemp signed two bills that will put money back in your wallet.

On Friday, Kemp signed a bill suspending Georgia’s gas tax for 60 days and another bill providing a one-time income tax rebate of up to $500.

The approval of the gas tax suspension comes after the House and Senate overwhelmingly approved the amendment to HB 1199, a routine tax code bill, on Wednesday and Thursday, respectively. The state’s gas tax is currently 33.3 cents per gallon, or 37.3 cents for diesel.

“Here in Georgia, we don’t just talk. We act, and we also deliver,” the governor said, addressing affordability.

STREAM ANF+ | Gov. Kemp delivers remarks on gas tax suspension, tax rebate bill

RELATED: General Assembly passes gas tax suspension, Gov. Kemp to sign bill Friday

This is the fourth time Kemp has suspended the gas tax. He previously suspended it in 2022 due to the war in Ukraine, in 2023 due to high inflation and in 2024 due to Hurricane Helene.

In metro Atlanta, the average gas price is currently $3.84 per gallon, according to AAA. For diesel fuel, that cost jumps to $5.27. Just one month ago, the average gas price was $2.70.

The suspension takes effect immediately, but drivers may not see the full savings at the pump right away because the excise tax is paid at the distributor level, not at the gas station.

Economists expect prices to begin reflecting the change over the weekend, and more clearly by early next week as new fuel deliveries arrive.

At a gas station off 14th Street in Atlanta, dump-truck driver Giancarlo Castiblanco said the price jump is already cutting into his workday. He said he is spending about $175 a day on diesel and still can’t make it through a full day.

“I don’t have a choice. If the truck doesn’t get fuel, it doesn’t move,” Castiblanco said.

The suspension lasts 60 days. If prices remain high, lawmakers could face pressure to extend it or pursue additional relief.

Click here to find our tracker of the cheapest gas prices in metro Atlanta.

RELATED: Income tax rebates passed by Georgia lawmakers

Meanwhile, HB 1000 marks the fourth time Kemp has signed a tax rebate. The $1.2 billion measure gives up to $250 to single filers, $375 to heads of households and $500 to couples filing jointly. Those who filed returns in 2025 and 2025 are eligible.

“That money isn’t just a number. It represents help with groceries, rent, bills, clothes for your kids and other needs facing Georgia families,” Kemp said. “It’s meaningful relief for working Georgians at a time when they badly need it.”