Missouri Enacts Additional Tax on Motor Fuel

Jul 15, 2021

The Missouri legislature has passed legislation imposing an additional tax on motor fuel. Effective October 1, 2021 an additional $0.025 per gallon tax will be imposed on all motor fuel used or consumed in Missouri. The rate will be increased annually from July 1, 2022 as follows:

July 1, 2022 – June 30, 2023:              $0.05 per gallon

July 1, 2023 – June 30, 2024:              $0.075 per gallon

July 1, 2024 – June 30, 2025:              $0.10 per gallon

July 1, 2025:                                           $0.12 per gallon

The legislation includes an exemption from the tax for motor fuel “used for purposes of propelling motor vehicles on highways.” The exemption is claimed by way of refund applied for on a fiscal year basis and is only available with respect to fuel placed into the fuel tank of a motor vehicle. The refund is paid to the person who paid the tax. An exemption and refund is claimed by filing a statement containing a written verification of the total tax paid for each vehicle for which the exemption and refund is claimed. The written statement must be filed between July 1 and September 30 following the fiscal year to which is relates and must include the following information: (1) VIN number of the vehicle into the which the motor fuel was delivered; (2) date of sale; (3) name and address of purchaser; (4) name and address of seller; (5) number of gallons purchased; and (6) numbers of gallons purchased and charged Missouri fuel tax as a separate line item.