02/03/14 Much of the country is experiencing a propane shortage. With subzero temperatures and snowstorms across the state, this poses a serious threat to Hoosiers.
In the wake of this shortage, propane prices have skyrocketed. Indiana’s average propane price jumped more than 40 percent this week, reaching $4.22 per gallon, though many Hoosiers are reporting even higher prices.
Members of the Indiana Senate Majority Caucus have offered an amendment to Senate Bill 1 that would provide relief to Hoosiers who may be affected by the propane shortage.
The amendment would eliminate the sales tax on any propane bought for more than $2.50 per gallon.
If passed into law, customers would get a credit on their next propane bill to offset the sales tax paid on any charge over $2.50 per gallon.
For example, a homeowner with a 500 gallon propane tank paying the state average of $4.22 per gallon would save about $60 on their bill.
This credit would be retroactive to Jan. 1 and would be effective through March.
If you have any questions or need additional information, please contact Senator Randy Head at Senator.Head@iga.in.gov or call 800-382-9467.
