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Braun extends 30-day gas tax pause through Oct. 6, pledges reserves to keep INDOT projects funded

Governor Mike Braun extended the suspension of Indiana's Gasoline Usage and Gasoline Excise taxes through Oct. 6 for all 92 counties and said he will tap state reserves so highway projects and local units are not cut. He will reevaluate the pause in 30 days.

BUSINESSINDY BRIEFBy BusinessIndy Editorial StaffSeptember 3, 2026 at 11:05 AM EDT

Governor Mike Braun announced a 30-day extension of his suspension of Indiana's Gasoline Usage Tax and Gasoline Excise Tax, continuing relief through Oct. 6 in all 92 counties. The extension is part of the energy emergency that began Aug. 7; the suspensions are consecutive and Braun said he will reassess the pause in 30 days.

Braun said he will use reserve funds to make local units whole and keep the Indiana Department of Transportation highway fund able to continue all fiscal year 2027 projects and maintenance without interruption. He also said he has an agreement with legislative fiscal leaders to prioritize replacing the lost revenue from the pause during the 2027 budget process; the reserve balance is on track to be over $5 billion.

BusinessIndy examines this development and its implications for Indiana businesses and communities using the linked sources.

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