Illinois drivers will not face the scheduled 1.3-cent motor fuel tax increase in 2026. The Illinois gas tax will remain at 48.3 cents per gallon through Thursday, December 31, 2026, before rising to 49.6 cents on Friday, January 1, 2027.

Illinois Gas Tax Increase Delayed for Six Months

The scheduled increase was suspended beginning Wednesday, July 1, 2026. The temporary pause does not reduce the existing gasoline tax. It postpones only the inflation-linked adjustment that would have increased the rate by 1.3 cents per gallon.

The delay was authorized through Public Act 104-0468, which Gov. J.B. Pritzker signed on Tuesday, June 16, 2026. The measure was included in Illinois’ $55.9 billion fiscal year 2027 budget package, approved by the General Assembly on Monday, June 1, 2026.

Illinois normally adjusts its motor fuel tax every July 1 based on inflation. Revenue from the tax supports roads, bridges and other transportation infrastructure.

Why Illinois Paused the Increase

Pritzker had said lawmakers could consider a temporary pause as drivers faced higher fuel costs associated with summer-grade gasoline and the conflict involving Iran. The final measure provides limited short-term relief while preserving the state’s longer-term transportation funding structure.

The Illinois policy is narrower than Indiana’s temporary fuel-tax action. Indiana suspended both its 7% gasoline use tax and gasoline excise tax through Tuesday, July 7, 2026. Illinois left its existing tax in place and delayed only the scheduled increase.

For Illinois drivers, the change means pump prices will not include the additional 1.3-cent state tax increase during the second half of 2026. The 49.6-cent rate is still scheduled to begin on Friday, January 1, 2027, unless lawmakers change the law again.