Through no action of their own, Knox County officials are weighing a state-driven wheel tax. The Knox County Council has begun early talks on the tax, which would be necessary to remain eligible for certain road funding under recent state legislation.

This issue was discussed at Tuesday’s Knox County Council meeting.

House Bill 1461, passed by the Indiana General Assembly in 2025, links larger Community Crossings Matching Grant awards to counties that adopt both a wheel tax and a local excise surtax. Councilman Kevin Meyer emphasized that the proposal did not originate locally, saying it stems directly from state lawmakers.

Council President Mike Morris said discussions are just beginning, with no immediate vote expected. He noted the county has until June 2026 to enact the tax if it wants full eligibility when the new requirements take effect in 2027.

If approved, the tax would be collected annually during vehicle registration, with rates ranging from $7 to $40 depending on vehicle type. Funds would be used for local road and infrastructure projects, as permitted under state law.