Tennessee: Fuel Excise Taxes
Tennessee Cigarette and Fuel Excise Taxes
In addition to (or instead of) traditional sales taxes, gasoline and other Fuel products are subject to excise taxes on both the Tennessee and Federal levels. Excise taxes on Fuel are implemented by every state, as are excises on alcohol and tobacco products.
Tennessee Gasoline Tax
| Excise: | $0.20 / gallon |
|---|---|
| Addl. Tax: | $0.01 / gallon† |
| Total Tax: | $0.21 / gallon |
Tennessee Diesel Tax
| Excise: | $0.17 / gallon |
|---|---|
| Addl. Tax: | $0.01 / gallon† |
| Total Tax: | $0.18 / gallon |
Tennessee Gasohol Tax
| Excise: | $0.20 / gallon |
|---|---|
| Addl. Tax: | $0.01 / gallon† |
| Total Tax: | $0.21 / gallon |
† Additional Applicable Taxes: Petroleum tax and environmental fee
Other Tennessee Fuel Excise Tax Rates
The primary excise taxes on fuel in Tennessee are on gasoline, though most states also tax other types of fuel.
Tennessee Aviation Fuel Tax
In Tennessee, Aviation Fuel is subject to a state excise tax of 1 cent special tax - TCA 67-3-203; .4 cent environmental assurance fee TCA 67- 3-204
Point of Taxation: Across the terminal rack - TCA 67-3-302
Tennessee Jet Fuel Tax
In Tennessee, Jet Fuel is subject to a state excise tax of 1 cent special tax - TCA 67-3-203: .4 cent environmental assurance fee TCA 67-3- 204
Point of Taxation: TCA 67-3-303
Payment of Tennessee Fuel Excise Taxes
Payments of fuel excise taxes are made by fuel vendors, not by end consumers, though the taxes will be passed on in the fuel's retail price. Fuel tax is due on the 20th of each month for the previous month.
Tennessee Fuel Tax Reports
Fuel producers and vendors in Tennessee have to pay fuel excise taxes, and are responsible for filing various fuel tax reports to the Tennessee government. Click the button below to view details on five TN fuel tax reports.
View Fuel Tax ReportsBlender's Report
Report Due: 20 th day following the month of Activity
Report Penalties: $15.00 minimum penalty for late filing regardless of tax Owed
Payment Due: 20 th day following the month of Activity
ReportPenalties: $15.00 minimum penalty for late filing regardless of tax Owed
PaymentPenalties: 5% of the tax due for each 1 to 30 day period, not to Exceed 25 %
Distributor Tax Report
Report Due: 20 th day following the month of Activity
Report Penalties: $15.00 minimum penalty for late filing regardless of tax Owed
Payment Due: 20 th day following the month of Activity
ReportPenalties: $15.00 minimum penalty for late filing regardless of tax Owed
PaymentPenalties: 5% of the tax due for each 1 to 30 day period, not to Exceed 25 %
Exporter Tax Report
Report Due: 20 th day following the month of Activity
Report Penalties: $15.00 minimum penalty for late filing regardless of tax Owed
Payment Due: 20 th day following the month of Activity
ReportPenalties: $15.00 minimum penalty for late filing regardless of tax Owed
PaymentPenalties: 5% of the tax due for each 1 to 30 day period, not to Exceed 25 %
Terminal Operator Report
Report Due: Last day of the month following the month of activity
Report Penalties: $15.00 minimum penalty for late filing regardless of tax Owed
Payment Due: Last day of the month following the month of activity
ReportPenalties: $15.00 minimum penalty for late filing regardless of tax Owed
PaymentPenalties: 5% of the tax due for each 1 to 30 day period, not to Exceed 25 %
Transporter's Report
Report Due: 20 th day following the month of Activity
Report Penalties: $15.00 minimum penalty for late filing regardless of tax Owed
Payment Due: 20 th day following the month of Activity
ReportPenalties: $15.00 minimum penalty for late filing regardless of tax Owed
PaymentPenalties: 5% of the tax due for each 1 to 30 day period, not to Exceed 25 %
Federal Fuel Excise Taxes
The price of all motor fuel sold in Tennessee also includes Federal motor fuel excise taxes, which are collected from the manufacturer by the IRS and are used to support the Federal Highway Administration. Federal excise tax rates on various motor fuel products are as follows:
| Gasoline | $0.18.4 per gallon |
|---|---|
| Diesel and Kerosene | $0.242 per gallon |
| Liquefied Petroleum Gas | $0.183 per gallon † |
| Liquefied Natural Gas (LNG) | $0.243 per gallon † |
| Compressed Natural Gas (CNG) | $0.184 per gallon † |
Included in the Gasoline, Diesel/Kerosene, and Compressed Natural Gas rates is a 0.1 ยข per gallon charge for the Leaking Underground Storage Tank Trust Fund (LUST).
† These tax rates are based on energy content relative to gasoline.
What percentage of the cost of gas in Tennessee comes from taxes and gas station profit?
The diagram above shows how the prices of an average gallon of gasoline and diesel fuel are broken down among various components, including the cost of the crude oil, refining, distribution / marketing, and taxes. In most areas, state and federal excise taxes amount to about 13% of the cost of a gallon of gas. Gas stations generally only profit a few cents per gallon.
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