Friday, October 9, 2026·Focal News

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North Carolina’s 41-cent gas tax holiday starts Saturday, with savings at stations uncertain

Gov. Josh Stein signed a law suspending the state’s 41-cent-per-gallon motor fuel tax through November, a move expected to reduce transportation revenue by $360 million. Drivers may wait to see lower prices, and how much of the tax cut reaches them will depend on the market.

North Carolina’s 41-cent gas tax holiday starts Saturday, with savings at stations uncertain
FAIRVIEW, N.C. — North Carolina will suspend its 41-cent-per-gallon state gas tax beginning Saturday under a new law signed Friday by Gov. Josh Stein at Hickory Nut Gap Farms in Fairview. The suspension is set to last through the end of November. The measure, called the Relief at the Pump Act, passed the state House earlier this week by a vote of 111-1. It is intended to provide relief to drivers, but the full tax reduction may not show up immediately at gas stations: retailers have already paid the tax on fuel currently in their tanks. Even after stations replenish their supplies, the amount drivers save will depend on whether fuel sellers pass the tax reduction along at the pump, according to the measure’s announcement. The temporary suspension is expected to reduce state transportation revenue by about $360 million. North Carolina relies heavily on motor fuel taxes to pay for transportation needs, making the policy a short-term tradeoff between potential consumer savings and funding for roads and other transportation services. Farmers joined Stein for the signing in Fairview.

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