Avalara Taxrates > Blog > Fuel Tax News > Gas tax rate changes July 2016 - Avalara

Gas tax rate changes, July 2016

  • Jul 1, 2016 | Gail Cole

 Summer, time to be on the road again.

How much it costs to fuel up during summer road trips depends on where the road takes you. Effective July 1, 2016, fuel tax rates in some states are increasing; in others, fuel tax rates are decreasing.

Much to Governor Chris Christie’s dismay, there will be no change to the gas tax rate in New Jersey. As a result, the governor has declared a State of Emergency and ordered an orderly shutdown of “all ongoing work that is funded by the TTFA [New Jersey Transportation Trust Fund Authority]." Without additional funding sources, “the TTFA will exhaust all of its available funds in August 2016.”

Going up

In Maryland, the combined rate (per gallon) for diesel increases to 0.3425. The rate for gasoline, gasohol, propane, compressed natural gas, liquefied natural gas and ethanol increases to $0.335.

Effective July 1, 2016, the Washington state rate for gasoline and diesel increases by 4.9 cents per gallon, to $0.494. New combined state and federal tax rates are as follows:

  • Gasoline: $0.678
  • Diesel: $0.738

Going down

The gas tax rate in California drops from $0.30 per gall to $0.278 per gallon.

The rate for gasoline, gasohol, diesel, ethanol, and compressed fuels in Nebraska drops to $0.258 through December 31, 2016. The rate for aviation and jet fuel is 3 cents per gallon.

The motor fuels tax for gasoline, diesel, and alternative fuel in North Carolina drops from $0.35 to $0.34.

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Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.