Fuel Tax | Compressed & Liquefied Gases

Compressed Natural Gas (CNG), Liquefied Natural Gas (LNG) and Liquefied Petroleum Gas (LPG) and Fuel Rates

The per gallon or gallon equivalent rates for the tax years of 2014-2019 are listed below. CNG fuel will be taxed at the gallon equivalent rate**, defined by the Internal Revenue Service as 126.67 cubic feet of natural gas. 

 Year  CNG**  LNG  LPG
 2014  $0.03  $0.03  $0.03
 2015  $0.06  $0.05  $0.05
 2016  $0.09  $0.07  $0.07
 2017  $0.12  $0.08  $0.09
 2018  $0.15  $0.10  $0.11
 2019 and subsequent years  $0.183  $0.12  $0.135

Fuel distributors must note that the Liquefied Petroleum Gas Fee is now the Liquefied Petroleum Gas and Natural Gas fee. The fee is $10 per tank truckload and includes fuel sales of natural gas as well as LPG sales. A tank truckload is defined as 8,000 gallons of LPG or LNG and 8,000 gallon equivalents of CNG The fee will be $.00125 per gallon. See CNG/LNG Conversion Information.