States also charge tax on gas. For example, California charges both $0.539 per gallon AND sales tax. The latter varies based on city/county/district and is ch

States also charge tax on gas. For example, California charges both $0.539 per gallon AND sales tax. The latter varies based on city/county/district and is charged on the "after per-gallon tax" price. The total sales tax in San Jose is 9.375%, so $6.50 at the pump includes $0.557 in sales tax. (The "at the pump" price includes sales tax.) That's a total of $1.096/g state and local for $6.50/g at the pump. Add in the federal $0.184/g and the total tax is $1.28/g on $6.50/g gas in San Jose. There may also be permit fees.