U.S. Department of Transportation
Federal Highway Administration
1200 New Jersey Avenue, SE
Washington, DC 20590
202-366-4000
Based on information obtained from state authorities and on the law of the states
Table MF-102
Status as of January 1, 2008
| STATE | TAX RATE 2/ (CENTS PER GALLON) (1) | TAX PAID IN FIRST FIRST INSTANCE (2) | DATE TAX DUE 3/ (3) | TAX COLLECTED AND ADMINISTERED BY (4) | REMARKS 4/ (5) |
|---|---|---|---|---|---|
| Alabama | 19 | Distributors or licensed users | 20th | Department of Revenue | Retailer, if not licensed as a distributor must buy tax-paid fuel. The Commissioner of Agriculture and Industries administers and collects the 2-cent inspection fee included in the tax. The LPG Board administers the tax on LPG. |
| Alaska | 8 | Dealers and users | Last | Department of Revenue | Retailer collects the tax in the first instance when heating fuel is sold as motor fuel. Transit use is taxed. |
| Arizona | 26 | Licensed Suppliers | 27th | Department of Transportation, Motor Vehicle Division | Dyed diesel consumed by school buses and local transit systems are subject to tax at the 18 cents per gallon. |
| Arkansas | 22.5 | Diesel suppliers (wholesalers or distributors) and LPG users | 25th | Department of Finance and Administration, Motor Fuel Tax Section | LPG non-resident users will be charged the per gallon tax of 16.5 cents per gallon. In-state users are required to obtain a annual flat fee. |
| California | 18 | Suppliers / Users | Last | Board of Equalization | Transit is exempt, but is subject to a 1-cent tax on the exempt gallons used on State highways. The LPG tax is paid by the gallons used on State highways. The LPG tax is paid by the retailer or user and the tax is due on the 25th day of the month. |
| Colorado | 20.5 | Distributors | 26th | Department of Revenue, Taxpayer Services Division | Transit use is taxed. |
| Connecticut | 37 | Licensed motor fuel distributors | 25th | Department of Revenue Services | Diesel fuel distributors collect the tax from retailers or users and pay tax to the State. Transit bus use is subject to full refund. Transit use taxicabs and livery services subject to 50 percent refund. LPG, CNG, and LNG are not taxed when sold as motor vehicle fuels. |
| Delaware | 22 | Wholesale Distributors | 25th | Department of Transportation, Motor Fuel Tax Administration | Licensed retailer becomes liable for the tax when fuel is placed in supply tank of user's vehicle. Licensed user who acquires tax-free fuel becomes liable for the tax when fuel is placed in supply tank of his licensed vehicle. Supplier must collect tax. |
| Dist. of Col. | 20 | Licensed importers | 25th | Office of Tax and Revenue | Metro (transit buses), U.S., D.C. and diplomats are exempt. |
| Florida | 28.8 | Terminal suppliers, blenders, importers, and wholesalers | 20th | Department of Revenue | Transit use is taxed; however, 23.8 cents per gallon is refundable. Nonhighway agricultural use and marine use are exempt from all taxes except a sales and use tax of 6 percent of the retail price of the diesel fuel. |
| Georgia 8/ | 7.5 | Tax paid by licensed distributors | 20th 5/ | Department of Revenue, Motor Fuel Tax Unit | Any taxpayer who is not licensed may apply for a refund for clear diesel fuel used for non-highway use. |
| Hawaii | 17 | Distributors | Last | Department of Taxation | Transit use is taxed. |
| Idaho | 25 | Retailers or licensed users, including trucks | Last 7/ | Tax Commission | - |
| Illinois | 21.5 | Licensed distributors, special fuels suppliers or bulk users of special fuel | 20th | Department of Revenue | Most nonhighway use is exempt. Transit use is exempt. |
| Indiana | 16 | Licensed suppliers, importers, and blenders | 15th | Department of Revenue, Special Tax Division | Special fuel tax is imposed at the time of removal from the terminal rack, the tax is then passed on to each subsequent purchaser. |
| Iowa | 22.5 | Licensed supplier, restrictive supplier, importer, blender, dealer, or user. | Last | Department of Revenue and Finance | Applies to undyed diesel fuel, and LPG or CNG delivered into the fuel supply of a motor vehicle. |
| Kansas | 26 | Diesel - wholesale distributors; LPG - users and dealers | 25th | Department of Revenue, Customer Relations | Diesel tax is computed on quantities received or imported less exempt sales. Transit use is taxed. |
| Kentucky | 18 | Licensed special fuels dealers (importers, wholesalers, refiners) | 25th | Department of Revenue, Motor Fuels Tax Section | - |
| Louisiana | 20 | Suppliers (wholesalers) | 20th | Taxpayer Services | User or dealer pays tax to supplier. Transit use is taxed. |
| Maine | 29.6 | Licensed suppliers (wholesalers), | Last | State Tax Assessor | Licensed supplier (wholesaler) or retailer is liable for the tax and shall charge and collect the tax. Licensed users is liable for tax on fuel bought tax free and used on the highway. |
| Maryland | 24.25 | Licensed sellers and users | Last | Comptroller, MATT Regulatory Division | Fleet operators, if licensed and bonded as diesel users, can fuel trucks from own storage tanks and pay tax. LPG users with bulk fuel register as bonded users. All others buy tax-paid fuel. Use by mass transit administration buses and certain municipal bus companies is exempt. |
| Massachusetts | 21 | Licensed special fuels suppliers | 20th | Department of Revenue, Excises Bureau | Suppliers may sell tax free if fuel is sold to other suppliers. Regional transit authorities are exempt. |
| Michigan | 15 | Supplier, importer, blender | 20th | Department of Treasury, Customer Contact Division - Special Taxes | Diesel tax rate simplified to 15 cents, except dyed diesel , which is exempt. The LPG tax is collected by a licensed LPG dealer. |
| Minnesota | 20 | First licensed distributor | 23rd | Department of Revenue, Special Taxes / Petroleum | Transit systems owned by cities or towns are exempt. |
| Mississippi | 18.4 | Wholesalers, retailers (distributors) | 20th | State Tax Commission | Compressed gas users: vehicles 10,000 pounds g.v.w. and under, $100 annual fee; vehicles greater than 10,000 pounds g.v.w.. but less than 20,000 pounds, $225 - prepayment of tax; vehicles greater than 20,000 pounds g.v.w.., $300 - prepayment of tax; vehicles greater than 10,000 pounds that carry "F" or farm tag, $150 - prepayment of tax. Annual reports are required on all vehicles with a gross weight exceeding 10,000 pounds. |
| Missouri | 17 | Suppliers or distributors | 2nd | Department of Revenue, Taxation Bureau | Transit use is taxed. |
| Montana | 27.75 | Distributors | 25th | Department of Transportation, Administration Division | Transit use is taxed. |
| Nebraska | 27.1 | Distributors and importers | 25th | Department of Revenue | Special fuels category is now divided into a diesel and a compressed gas program. Compressed gas includes LPG and CNG. |
| Nevada | 27.7 | Licensed users or suppliers | Last 7/ | Department of Motor Vehicles, Motor Carrier Division | Retailer sells tax-free fuel to licensed user and collects tax from unlicensed users. Nonhighway, government and transit are exempt. |
| New Hampshire | 19.6 | Distributors (Last Licensee Model) | Last 7/ | Department of Safety - Road Toll Administration | Transit use is taxed. |
| New Jersey | 13.5 | Retailers and users | Department of the Treasury, Division of Taxation | Generally, off-road use is not taxable. | |
| New Mexico | 22.875 | Distributors | 25th | Motor Transportation Division, Operations Bureau | Transit use is taxed. |
| New York | 22.65 | Registered distributors upon first sale in the State | 20th | Department of Taxation and Finance | Under certain conditions, fuel used in omnibuses and taxicabs is subject to a refund of 3 cents+F226 per gallon. Diesel fuel used in omnibuses operated in local transit service and all school buses owned by nonpublic schools is subject to full refund. |
| North Carolina | 29.9 | For diesel and kerosene, Supplier who owns the fuel as it crosses the terminal rack (Position Holder/Supplier) For alternative fuel - Alternative Fuel Provider upon use | 22nd | Department of Revenue, Motor Fuels Tax Division | The point of taxation diesel and kerosene is the same as for gasoline-terminal rack. The point of taxation for alternative fuels is upon sale for a highway use, sale to a retailer for highway use, or to a bulk end-user for highway use. |
| North Dakota | 23 | Licensed dealers (wholesalers) | 25th | Tax Commissioner, Motor Fuel Tax Section | Dyed fuel used for agriculture, industrial, or railroad purposes is exempt but subject to a special excise tax of $.04 per gallon; LPG is subject to tax at the rate of 2%. Special fuel used for heating purposes is subject to tax at $.02 and 1% from January 2008 through June 2009. Beginning July 2009heating fuel is exempt. |
| Ohio | 28 | Wholesalers and Distributors of Motor Vehicle Fuel | Last day of the month | Tax collected by the State Treasurer (EFTs) and Ohio Dept of Taxation. Motor Fuel laws administered by the Dept. of Taxation | Tax is paid on first sale knowingly made for highway use. If final use cannot be determined, user is liable for the tax. Public transit use is refunded 27 cents per gallon. |
| Oklahoma | 14 | Suppliers (diesel) Special Fuel Dealers (propane) | 27th (20th LPG) | Tax Commission, Audit Division, Motor Fuel Division | Diesel taxed at the rack. LPG when used for taxable purposes. |
| Oregon | 24 | Retailers or users | 20th | Department of Transportation | Tax is paid by user for vehicles not under jurisdiction of the Public Utilities Commission (PUC). Vehicles under jurisdiction of the PUC and paying motor-carrier fees are exempt from payment of the special fuels tax. Fuel used by a publicly organized mass transportation district is subject to full refund. |
| Pennsylvania | 38.1 | Registered Distributors | 20th | Department of Revenue, Bureau of Motor Fuel Taxes | Quantities used or sold and delivered except for dyed diesel and dyed kerosene. |
| Rhode Island | 30 | Wholesalers, retailers or users | 27th | Department of Administration, Division of Taxation, Excise Tax Section | Tax is on first sale where use is known to be for internal combustion engine. If use cannot be determined initially, user becomes liable for tax. Public transit use is exempt. |
| South Carolina | 16 | Supplier at terminal rack | 22nd | Department of Revenue | Wholesale supplier: tax is on first sale when use is known to be for internal combustion engine. If use cannot be determined, user becomes liable for tax. Transit use is taxed. |
| South Dakota | 22 | Suppliers and importers | Last | Department of Revenue, Motor Vehicle Division | - |
| Tennessee | 17 | At the terminal rack | 20th | Department of Revenue | Transit use is exempt. |
| Texas | 20 | Licensed Suppliers, Permissive Suppliers, importers and blenders,'(Diesel Fuel) / Licensed Dealers,and users (LPG) | 25th | Comptroller of Public Accounts | Transit use of diesel fuel is taxed, but a qualified transit company may seek a refund of one-half of one cent per gallon. The LPG tax is collected by licensed LPG dealers on fuel sold to "out-of-State" licensed vehicles, Texas vehicles licensed under IFTA and vehicles with an LPG vehicle dealer license. Users with motor vehicles licensed in Texas and equipped with a liquefied gas system are required to prepay the tax by purchasing an annual liquefied gas tax decal. |
| Utah | 24.5 (See remarks) | Licensed supplier | Last | Tax Commission | No tax on special fuels defined as clean fuels, which are propane, compressed natural gas, electricity, or any fuel that meets the clean fuel vehicle standards in the Federal Clean Air Act Amendments of 1990, Title II. These exemptions require purchase of an annual exemption certificate. Publicly owned transit is exempt. Gasoline considered "clean fuel" is taxed at the following rates per gallon 3/19 of rate round to the nearest penny: 4 cents (59-13-201(1)(b) |
| Vermont | 19 | Licensed Distributors | Last | Department of Motor Vehicles, Commercial Vehicle Operations | Diesel fuel suppliers collect the tax on the first taxable sale, and pay the tax to the State. The tax is then passed on in each sale so that the tax is ultimately paid by the person consuming the fuel on the highway. A Diesel Fuel Tax Exemption Certificate number can be obtained when fuel is used for official purposes by State, City, Fire Districts, School Districts, or when delivered for farm use to farm bulk fuel storage tank. |
| Virginia | 17.5 | Suppliers, Importers, Blenders, Bulk User, Retailer and Provider of Alternative Fuel | 20th day of the second month of receipt or sale | Department of Motor Vehicles, Motor Carrier Services | Supplier sells fuel wholesale and retail. User cannot acquire tax-free fuel. Use in vehicles that have: two axles and a gross vehicle weight of more than 26,000 pounds regardless of weight, or used in combination, when the combined weight is more than '26,000 pounds gross or registered gross vehicle weight is subjected to an additional 13.5 cents. Certain transit use is refunded. |
| Washington 6/ 7. | 34 | Supplier (terminal rack) or importer, or blender | 25th | Department of Licensing, Prorate and Fuel Tax Services | Cities or towns that are within 10 miles of an international border crossing or transportation benefit districts that contain an inter-national border may impose an additional local tax up to 1 cent per gallon. |
| West Virginia | 32.2 | Terminal Rack / on Import | 31st | Department of Tax and Revenue, Internal Auditing Division | |
| Wisconsin | 30.9 | Licensed suppliers or retailers | 15th | Department of Revenue | Diesel fuel tax is paid by the licensed supplier. For alternate fuels, including LPG, tax is paid by person who places fuel in motor vehicle tank of the user. Urban mass transportation use by common carriers is exempt. |
| Wyoming | 14 | Suppler (terminal rack) | Last | Department of Transportation | – |
1/ As used in this table, special fuels are motor fuels other than gasoline and gasohol, and include diesel fuel and liquefied petroleum gases (LPG).
2/ Rates shown are as of January 1, 2008. Some of the rates shown are composites of several taxes. Where two tax rates are shown for a State, the first rate applies to diesel fuel, and the second to liquefied petroleum gases (LPG), such as propane and butane. Many States provide for an annual fee in lieu of paying the gallonage tax on LPG. See Table MF-121T for more detail on the composition of the rates and special permit programs for LPG. See Table MF-106 for State code citations for the taxes.
3/ Date tax is due in month following month of transfer of special fuel.
4/ Special provisions for taxation of motor fuel used in interstate operation are shown in Table MF-104.
5/ Tax is due in April, July, October and January of the following year in Idaho, Maine, Montana, Nevada, and New Hampshire (applies to users only in Maine, Montana, Nevada and New Hampshire). In Georgia, some users with tax payments of $500 or less per year may pay annually by January 25. In Virginia, is due by the 5th day of the second month of receipt or sale.
6/ Cities or towns that are within 10 miles of an international border crossing or transportation benefit districts that contain an international border may impose an additional local tax up to 1 cent per gallon.
7/ Effective 7/1/08, tax rates for gasoline and special fuel will increase to 37.5 cents per gallon.
8/ The State of Georgia has additional state prepaid tax rates, which varies by type of fuel. i.e. the gasoline rate is 0.110, diesel 0.123, LPG 0.074, Special Fuel 0.109. These rates are added to the 0.75 state excise tax and are collected by the wholesaler at the time of sale.
