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An official website of the Alabama State government.

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The .gov means it's official

Government websites often end in .gov or .mil. Before sharing sensitive information, make sure you’re on an official government site.

The site is secure

The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely.

Motor Fuels Tax Rates

  • Motor Fuels Tax Rates

Tax Levy

Tax TypeTax RateCode Section
Gasoline$0.28 per gallon (effective October 1, 2021)40-17-325
Diesel Fuel$0.29 per gallon (effective October 1, 2021)40-17-325
Aviation Gasoline$0.095 per gallon40-17-325
Jet Fuel$0.035 per gallon40-17-325
Compressed Natural Gas$0.08 per GGE (effective October 1, 2018)40-17-168.2
Liquified Natural Gas$0.08 per DGE (effective October 1, 2018)40-17-168.2
Lubricating Oil
  • $0.02 per gallon
  • $0.04 per gallon
  • $0.06 total per gallon
40-17-171
40-17-220
Wholesale Oil License$0.0075 per gallon on all diesel fuel sold across a rack at a terminal in Alabama or upon import into Alabama for resale.40-17-174
Motor Carrier Mileage
  • With seating capacity not less than nine nor more than 16: $0.025 per mile
  • With seating capacity 17-21: $0.005 per mile
  • With seating capacity 22-25): $0.075 per mile
  • With seating capacity greater than 25: $0.01 per mile
40-19-3
Inspection Fee: Gasoline$0.02 per gallon for sales by a supplier to an exempt entity other than the federal government at the rack8-17-87
Inspection Fee: Undyed Diesel$0.02 per gallon for sales by a supplier to an exempt entity other than the federal government at the rack8-17-87
Inspection Fee: Dyed Diesel$0.02 per gallon (Reduced Rate $.00025 for vessels, railroad locomotives, tractors used for agricultural purposes & wood preservation)8-17-87
Inspection Fee: Dyed Kerosene$0.01 per gallon (Reduced Rate $.00025 for vessels, railroad locomotives, tractors used for agricultural purposes & wood preservation)8-17-87
Inspection Fee: Lubricating Oil$0.15 per gallon8-17-87