SPRINGFIELD, ILL (KMOX) – If you’re an Illinoisan trying to figure out how you’ll weather the income tax increase, it’s about to get worse. Gas prices are likely going up across the board, as well.
Bill Flieschli, executive vice president of the Illinois Petroleum Marketers Association, says this year’s state budget eliminates a tax credit for ethanol wholesalers. He says that will surely be passed onto consumers.
“As the wholesale price goes up, the tax will go up, so every time there’s a change in price the tax will go up. We used to get a tax incentive for ethanol so it would be competitive with straight gasoline. That incentive has been removed” he says.
Flieschli expects gas prices in southern and central Illinois to rise 3.5 to 4 cents a gallon in the near future. The Chicago area could see 6-8 cents.