Motor Fuel Tax

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In North Dakota, there are 3 types of motor fuel tax:

  1. Motor Vehicle Fuel Tax (Gasoline and Gasohol)
    • A motor vehicle fuel tax of $0.23 cents per gallon is imposed on motor vehicle fuel sold to retailers and consumers. Motor vehicle fuel includes gasoline and gasohol.
    • Some taxpayers may qualify for a refund on motor vehicle fuel tax. For more information and to apply for the refunds, please see the Refunds tab below.
  2. Special Fuels Taxes
    • Special fuels include diesel, biodiesel, kerosene, compressed natural gas (CNG), liquefied natural gas (LNG), waste oil, liquefied petroleum gas (LPG) known as propane, and soy oil and other blending components.
    • 23 cents per gallon is imposed on all special fuels sold for use in licensed vehicles.
    • 4 cents per gallon is imposed on dyed (red) diesel, biodiesel, and kerosene. This 4-cent tax is also included on CNG, waste oil, and soy oil and other blending components sold for uses other than in a licensed vehicle.
    • 2% excise tax is imposed on LPG for uses other than in a licensed vehicle.
    • Emergency medical services operations may qualify for a refund on special fuel taxes. For more information and to apply for this refund, please see the Refunds tab below.
  3. Aviation Fuel Tax
    • An aviation fuel tax of $0.08 per gallon is imposed on the sale of aviation gasoline and jet fuels.
    • Emergency medical services operations can obtain a full refund for aviation fuel used in air ambulances. For more information and to apply for this refund, please see the Refunds tab below.

Printable versions of the Motor Fuel Instruction Manual and North Dakota Fuel Tax Rates are available. The instruction manual includes fuel tax schedules and reports.

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License and Registration

In North Dakota, the following types of companies need to apply for a motor fuel license:

  • Companies who import motor fuel to North Dakota
  • Companies who export motor fuel out of North Dakota (except by pipeline)
  • Companies who make bulk deliveries of motor fuel in the state
  • Retailers located on a reservation subject to a Tribal Motor Fuel Agreement

To apply for a motor fuel license, visit ND TAP.

If you have a state motor fuel license and would like to add another tax type to your license, you only need to complete the applicable State Fuel Tax License application or Tribal Fuel Tax License application. These applications are found in ND TAP.

Apply for a Fuel License


Instructions for Fuel Tax License Applicants are available.  


Corporations, limited partnerships, limited liability companies, and limited liability partnerships also need a Certificate of Authority from the North Dakota Secretary of State.

Bonds

You may need the following bond forms as you apply for a motor fuel license: 

To learn more about bonds, visit:

Bonds

Reports

Motor fuel license holders must file a monthly motor fuel report detailing fuel purchase and sale activity. The deadline for filing the monthly report is the 25th of the month following the month of activity.

File a Report - More Information

Make a Payment in ND TAP

Refunds

Taxpayers may qualify for different types of motor fuel tax refunds. More information:

Motor Fuel Tax Refunds

Motor Fuels – Tribal Agreements

North Dakota and several Native American Tribes in the state have entered into Motor Fuel Tax agreements. These agreements provide for the single administration of the collection and distribution of motor fuel taxes on behalf of the State and the Tribes for fuel sales within the boundaries of the reservations. To learn more, please see the Guideline - Motor Fuel Tax Tribal Agreements.

A list of motor fuel tax taxable and nontaxable schools located on North Dakota reservations is also available.

Dealers and retailers on reservations must submit reports.

Dyed Fuel

Under North Dakota Law, diesel fuel intended solely for non-highway purposes contains red dye. The improper use of dyed diesel fuel in a motor vehicle that is required to be licensed subjects the registered owner of the vehicle to a penalty. The penalty for the first violation is $500 plus appropriate tax based on tank capacity.

All retailers must display a prescribed sticker on each pump from which they dispense dyed diesel fuel. The sticker advises consumers of the administrative fee for a violation of using dyed diesel fuel in a licensed vehicle. In addition, retailers are required to display a sticker notifying consumers that dyed diesel fuel is for off-road use only. Retailers are advised to replace these stickers when their condition has deteriorated to a point they are not obvious to consumers. To receive the required sticker, please contact the North Dakota Petroleum Marketers Association at 701-223-3370.