The People of America's Oil and Natural Gas Indusry

Taxes at the Pump

Jane Van Ryan

Jane Van Ryan
Posted January 14, 2011

The nationwide average price of gasoline remained steady at $3.095 a gallon yesterday, according to AAA. As we've reported here many times, the cost of crude oil is the largest factor in the price of gasoline, but excise taxes also account for a large percentage of the pump price.

Excise taxes vary from state-to-state and average 48.1 cents on each gallon of gasoline across the nation. These taxes include the federal tax of 18.4 cents per gallon, as well as applicable sales taxes, gross receipts taxes, oil inspection fees, county and local taxes, underground storage tank fees and other miscellaneous environmental fees. To see how much you pay in gasoline taxes, click on the map below:

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AAA reports that the nationwide average price of diesel fuel rose 0.9 cents a gallon yesterday to $3.359. The average tax on each gallon of diesel fuel is 53.1 cents. The map below shows the diesel fuel taxes on a state-by-state basis:

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The highest excise taxes for both gasoline and diesel fuel are levied in California. The lowest per-gallon taxes are found in Alaska.


Jane Van Ryan was formerly senior communications manager and new media advisor at the American Petroleum Institute (API), where she wrote blog posts and produced podcasts and videos. Before coming to API, Jane managed communications for a large science and engineering corporation, and for a top-tier research and engineering university. A few years ago, you might have seen her in your living room when she delivered the news on television. Jane officially retired from API in 2011 and now freelances as an independent communications consultant when not gardening at her farm in Virginia.