The price and percentages may vary from state to state but as gas prices rise, government gets more in taxes so they too benefit from higher costs.

Where exactly does money spent at the gas pump go?

Posted: April 22, 2008 08:43 AM PDT

Updated: April 23, 2008 09:00 AM PDT

News 4 asks: Where does your gas money go?

Anyone who drives knows the price at the pump keeps going up and now we are seeing record prices in Nevada and across the nation.

Average gas prices in Reno today are $3.70 compared to $3.45 a month ago, and $3.36 one year ago.

Drivers in Las Vegas are paying an average of $3.51 cents for a gallon of regular unleaded. Statewide, the average sits at $3.57 and $3.50 nationwide.

As gas prices continue to rise you probably find yourself asking where is that money going? It goes to profits and taxes.

"Somebody's making a lot of money, let's put it that way, I realize the price of oil is going up, but I think this is ridiculous!" Ron Malcolm, a Reno motorist said.

News 4 found out just how the money made from selling gas is divided between profit and taxes from a local gas station at Rainbow Market.

The gas station made a 5 cent profit on every gallon of gas sold here. And according AAA 53 cents from every gallon of gas sold in Nevada is divided among federal, state and local taxes.

As for the rest of what you're paying for a gallon of regular unleaded gasoline according to the US government, 13 percent goes toward taxes, 8 percent to distribution and marketing, another 8 percent to refining and 72 percent of the price you pay goes to the cost of crude oil.

Gas crimes

High gas prices may be leading to a new crime trend in California.

Police in Fresno and San Jose are reporting criminals breaking into businesses that own trucks, punching holes in gas tanks, and stealing the gas.

Police say the criminals will most likely try to resell the gas at below market price, or use it for themselves.

There are also reports of gas being stolen from a food bank, a crime estimated to take away about 4000 meals from less fortunate people.

The government is expected to release a new proposal to raise fuel efficiency standards today.

It would force all new cars to make 35 miles to the gallon by 2020. The proposal is expected to be written and passed before president bush leaves office.

http://www.krnv.com/Global/story.asp?S=8208326