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  5. Motor Vehicle Fuel Tax Rates

Motor vehicle fuel tax rates

The motor vehicle fuel tax rates are used to calculate the motor vehicle fuel deduction under the Retailing Business and Occupation (B&O) tax classification. To compute the deduction, multiply the number of gallons by the combined state and federal tax rate.

Gasoline

Date State Rate/Gallon Federal Rate/Gallon Combined
State & Federal Tax Rate/Gallon
Jul 1, 2025 - Jun 30, 2026 0.554 0.184 0.738
Jul 1, 2016 - Jun 30, 2025 0.494 0.184 0.678

Diesel

Date State Rate/Gallon Federal Rate/Gallon Combined
State & Federal Tax Rate/Gallon
Jul 1, 2025 - Jun 30, 2026 0.584 0.244 0.828
Jul 1, 2016 - Jun 30, 2025 0.494 0.244 0.738

For more information about fuel tax, visit the Department of Licensing's web site.