Fauser Energy Resources

Iowa Motor Fuel Tax

Description: Tax is imposed on each gallon of fuel sold in Iowa for use in motor vehicles or aircraft. Motor vehicle fuel includes gasoline, diesel fuel, liquefied petroleum gas, compressed natural gas, aviation fuel, and ethanol blended gasoline.

Tax Rates:

Gasoline:

July 1, 2002, through June 30, 2003 - 20.1¢/gal
July 1, 2003, through June 30, 2004 - 20.3¢/gal
July 1, 2004, through June 30, 2005 - 20.5¢/gal
July 1, 2005, through June 30, 2006 - 20.7¢/gal
July 1, 2006, through June 30, 2007 - 21.0¢/gal
July 1, 2007, through June 30, 2008 - 20.7¢/gal
Effective July 1, 2008 - 21.0¢/gal

Ethanol Blended Gasoline:

19¢/gal

E85:

January 1, 2006, through June 30, 2007 - 17¢/gal
Effective July 1, 2007 - 19¢/gal

Other:

Aviation Gasoline: 8¢/gal
Special Fuel (diesel): 22.5¢/gal
Special Fuel (LPG): 20¢/gal.;
Special Fuel (aviation jet): 3¢/gal.;
Compressed Nat. Gas: 16¢/100 cubic feet.
Distribution of Funds: Road Use Tax Fund. Aviation fuel tax receipts are deposited in the state aviation fund. Watercraft fuel tax receipts are deposited in the marine fuel tax fund.