Motor Fuel Tax News February 2022
State Motor Fuel Tax Update February 2022
Illinois: Use Tax Rates Announced for Motor Fuels — Dec 27, 2021
Effective as of January 1, 2022, through June 30, 2022, The Illinois Department of Revenue announced the new use tax rates of motor fuels and its calculation.
The combined use tax rates are as follows:
- Diesel: 62.7¢ per gallon
- Gasoline: 55.9¢ per gallon
- LPG: 61.7¢ per DGE
- LNG: 62.3¢ per DGE
- CNG: 48.5¢ per GGE
Nebraska: Motor Fuel Tax Rate Decreased — Dec 23, 2021
Effective as of January 1, 2022, through June 30, 2022, the motor fuel tax rate in Nebraska decreased from 27.2¢ per gallon to 24.8¢ per gallon.
North Carolina: Motor Fuel and Alternative Fuel Tax Rates for 2022 Announced — Dec 17, 2021
Effective as of January 1, 2022, through December 31, 2022, the newly calculated motor fuels and alternative fuels tax rate is 38.5¢ per gallon or gallon equivalent.
The inspection tax remains at 0.0025¢ per gallon.
West Virginia: Average Wholesale Price Announced for Conventional and Alternative Motor Fuels — Dec 17, 2021
Effective as of January 1, 2022, through December 31, 2022, the West Virginia State Tax Department determined the average wholesale price of conventional and alternative motor fuels for excise and sales & use tax purposes. The excise tax rate on motor fuels is composed of a flat rate of $0.205 per gallon or gallon equivalent, plus a variable at 5% of the average wholesale price of each fuel type.
The average wholesale prices are as follows:
$3.040 per gallon for conventional motor fuels
$6.903 per 1,000 cubic feet for compressed natural gas (CNG)
$0.563 per gallon for liquefied natural gas (LNG)
$1.442 per gallon for liquefied petroleum gas (LPG or propane)
Calculated, the Motor fuel excise tax rates for 2022 are as follows:
$0.357 per gallon for conventional motor fuels
$1.963 per 1,000 cubic feet for CNG
$0.160 per gallon for LNG
$0.222 per gallon for LPG or propane
New Jersey: Gross Receipt Tax Rate on Petroleum Products Unchanged — Dec 7, 2021
Effective as of January 1, 2022, through March 31, 2022, the New Jersey Division of Taxation announced the gross receipt tax rates on petroleum products will not change for the 1st quarter of 2022.
The gross receipt tax rates remain as follows:
- Gasoline and LPG: 31.9 cents per gallon;
- Diesel: 35.9 cents per gallon;
- Fuel oil: 12.4 cents per gallon;
- Aviation fuel: 4 cents per gallon; and
- Other: 7% of gross receipts.
New York: Business Tax Rates on Petroleum Products Increased — Dec 3, 2021
Effective as of January 1, 2022, through December 31, 2022, the New York Department of Taxation and Finance revised the list of aggregate petroleum business tax rates and implemented new increased rates.
The rate for motor fuel increases from 16.6¢ to 17.3¢ per gallon.
The rates for aviation gasoline increase as follows:
- Aviation gasoline—from 16.6¢ to 17.3¢ per gallon; and
- Retail sellers of aviation gasoline—from 6.7¢ to 7.0¢ per gallon.
The rate for kero-jet fuel increases from 6.7¢ to 7.0¢ per gallon.
The rates for highway diesel motor fuel increase as follows:
Highway diesel motor fuel—from 14.85¢ to 15.55¢ per gallon;
Highway B20—from 11.88¢ to 12.44¢ per gallon.
Michigan: New Motor Fuel Tax Rate Announced — Nov 16, 2021
Effective as of January 1, 2022, through December 31, 2022, the Michigan Department of Treasury announced the fuel tax rate for motor fuel and alternative fuel is 27.2¢ per gallon.