Tennessee Updates Position on Destination State Taxes During Georgia’s Motor Fuel Tax Suspension

May 13, 2021

The State of Tennessee has updated its position with respect to the collection of motor fuel tax on removals of fuel from Tennessee terminals across the rack for export to Georgia. Under state law, either Tennessee or Georgia motor fuel tax should be collected. Tennessee has advised that it will not require Tennessee motor fuel tax to be collected on gasoline and diesel removed from a terminal for export. Rather, the Georgia (as destination state) tax may be invoiced as $0. Suppliers would report the transactions under the normal rules. Tennessee will be collecting the export fee.