Michigan Gas Tax is going up.

LANSING – Michigan’s Gas Tax Is Going Up. Michigan’s gas tax is going up 1.4 cents per gallon starting Jan. 1, thanks to an automatic adjustment written into state law. The increase will move the state gas tax from 27.2 cents per gallon to 28.6 cents per gallon, according to a notice from the Michigan Treasury on Dec. 1. A law from the Gov. Rick Snyder era requires the gas tax to increase each year. Starting in 2022, the formula calls for an increase of either 5% or the inflation rate — whichever is lower. Because inflation has hovered around 8% in the past year, the gas tax will only go up by the maximum 5% in 2023. The increase applies to gasoline, diesel and alternative fuels. For Michiganders buying 15 gallons worth of gas, the increased tax would add on 21 cents to the total bill.