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Utah gas tax increase takes effect Friday

Utah’s first gas tax increase since 1997 will take effect Friday, adding 4.9 cents per gallon of gasoline and diesel.

The Salt Lake Tribune reports that gasoline retailers have not said whether they will pass the tax increase on to consumers immediately.

The State Tax Commission estimates the increase will generate about $76 million a year, with 70 percent earmarked for highways and 30 percent going to cities and counties for local roads.

The hike is part of a larger law that allowed counties to put Proposition 1 on the ballot to raise sales taxes for transportation. That proposition passed in 10 counties and failed in seven.

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