(INDIANAPOLIS) - Indiana's 30-day gas tax suspension is now in effect, but drivers may not see the full savings at the pump immediately.
Governor Mike Braun's emergency order temporarily removes the state's 17.2-cent-per-gallon gasoline use tax through May 8, with the change taking effect at midnight Thursday.
Fuel suppliers say the tax reduction is real, but many stations are still selling gasoline that was purchased and delivered before the suspension took effect, meaning it may take several days for lower-tax fuel to work through station inventories.
Even once the tax break reaches pumps, experts say the savings may not appear as a full 17.2-cent drop, because wholesale gas prices continue moving daily with global oil market volatility.
Recent instability in international crude markets has continued to influence wholesale gasoline costs across the country, which suppliers say can offset some of the expected savings.
The suspended tax affects only Indiana's monthly 7 percent gasoline use tax calculation, which had risen to 17.2 cents per gallon at the start of April.
Other taxes remain in place, including Indiana's 36-cent state motor fuel tax and the federal gasoline excise tax of about 18 cents per gallon.
Industry leaders say drivers should begin seeing at least some relief over the next several days, though the exact drop will depend on fuel delivery timing and continued swings in global oil prices.