Collapse to view only § 4081. Imposition of tax
- § 4081. Imposition of tax
- § 4082. Exemptions for diesel fuel and kerosene
- § 4083. Definitions; special rule; administrative authority
- § 4084. Cross references
§ 4081. Imposition of tax
(a) Tax imposed
(1) Tax on removal, entry, or sale
(A) In generalThere is hereby imposed a tax at the rate specified in paragraph (2) on—
(i) the removal of a taxable fuel from any refinery,
(ii) the removal of a taxable fuel from any terminal,
(iii) the entry into the United States of any taxable fuel for consumption, use, or warehousing, and
(iv) the sale of a taxable fuel to any person who is not registered under section 4101 unless there was a prior taxable removal or entry of such fuel under clause (i), (ii), or (iii).
(B) Exemption for bulk transfers to registered terminals or refineries
(i) In general
(ii) Nonapplication of registration to vessel operators entering by deep-draft vessel
(2) Rates of tax
(A) In generalThe rate of the tax imposed by this section is—
(i) in the case of gasoline other than aviation gasoline, 18.3 cents per gallon,
(ii) in the case of aviation gasoline, 19.3 cents per gallon, and
(iii) in the case of diesel fuel or kerosene, 24.3 cents per gallon.
(B) Leaking Underground Storage Tank Trust Fund tax
(C) Taxes imposed on fuel used in aviationIn the case of kerosene which is removed from any refinery or terminal directly into the fuel tank of an aircraft for use in aviation, the rate of tax under subparagraph (A)(iii) shall be—
(i) in the case of use for commercial aviation by a person registered for such use under section 4101, 4.3 cents per gallon, and
(ii) in the case of use for aviation not described in clause (i), 21.8 cents per gallon.
(D) Diesel-water fuel emulsion
(3) Certain refueler trucks, tankers, and tank wagons treated as terminal
(A) In generalFor purposes of paragraph (2)(C), a refueler truck, tanker, or tank wagon shall be treated as part of a terminal if—
(i) such terminal is located within an airport,
(ii) any kerosene which is loaded in such truck, tanker, or wagon at such terminal is for delivery only into aircraft at the airport in which such terminal is located,
(iii) such truck, tanker, or wagon meets the requirements of subparagraph (B) with respect to such terminal, and
(iv) except in the case of exigent circumstances identified by the Secretary in regulations, no vehicle registered for highway use is loaded with kerosene at such terminal.
(B) RequirementsA refueler truck, tanker, or tank wagon meets the requirements of this subparagraph with respect to a terminal if such truck, tanker, or wagon—
(i) has storage tanks, hose, and coupling equipment designed and used for the purposes of fueling aircraft,
(ii) is not registered for highway use, and
(iii) is operated by—(I) the terminal operator of such terminal, or(II) a person that makes a daily accounting to such terminal operator of each delivery of fuel from such truck, tanker, or wagon.
(C) ReportingThe Secretary shall require under section 4101(d) reporting by such terminal operator of—
(i) any information obtained under subparagraph (B)(iii)(II), and
(ii) any similar information maintained by such terminal operator with respect to deliveries of fuel made by trucks, tankers, or wagons operated by such terminal operator.
(D) Applicable rateFor purposes of paragraph (2)(C), in the case of any kerosene treated as removed from a terminal by reason of this paragraph—
(i) the rate of tax specified in paragraph (2)(C)(i) in the case of use described in such paragraph shall apply if such terminal is located within a secured area of an airport, and
(ii) the rate of tax specified in paragraph (2)(C)(ii) shall apply in all other cases.
(4) Liability for tax on kerosene used in commercial aviation
(b) Treatment of removal or subsequent sale by blender
(1) In general
(2) Credit for tax previously paidIf—
(A) tax is imposed on the removal or sale of a taxable fuel by reason of paragraph (1), and
(B) the blender establishes the amount of the tax paid with respect to such fuel by reason of subsection (a),
the amount of the tax so paid shall be allowed as a credit against the tax imposed by reason of paragraph (1).
(c) Later separation of fuel from diesel-water fuel emulsion
(d) Termination
(1) In general
(2) Aviation fuelsThe rates of tax specified in subsection (a)(2)(A)(ii) and (a)(2)(C)(ii) shall be 4.3 cents per gallon—
(A) after December 31, 1996, and before the date which is 7 days after the date of the enactment of the Airport and Airway Trust Fund Tax Reinstatement Act of 1997, and
(B) after September 30, 2028.
(3) Leaking Underground Storage Tank Trust Fund financing rate
(e) Refunds in certain cases
(Aug. 16, 1954, ch. 736, 68A Stat. 483; Mar. 30, 1955, ch. 18, § 3(a)(3), 69 Stat. 14; Mar. 29, 1956, ch. 115, § 3(a)(3), 70 Stat. 66; June 29, 1956, ch. 462, title II, § 205, 70 Stat. 389; Pub. L. 86–342, title II, § 201(a), Sept. 21, 1959, 73 Stat. 613; Pub. L. 87–61, title II, § 201(b)–(d), June 29, 1961, 75 Stat. 123, 124; Pub. L. 91–605, title III, § 303(a)(6), Dec. 31, 1970, 84 Stat. 1744; Pub. L. 94–280, title III, § 303(a)(6), May 5, 1976, 90 Stat. 456; Pub. L. 95–599, title V, § 502(a)(5), Nov. 6, 1978, 92 Stat. 2756; Pub. L. 95–618, title II, § 221(a)(1), Nov. 9, 1978, 92 Stat. 3185; Pub. L. 96–223, title II, § 232(a)(1), (b)(3)(A), (d)(3), Apr. 2, 1980, 94 Stat. 273, 276, 277; Pub. L. 97–424, title V, §§ 511(a)(1), (d)(1), 516(a)(3), Jan. 6, 1983, 96 Stat. 2169, 2171, 2182; Pub. L. 98–369, div. A, title VII, § 732(a)(1), (2), title IX, § 912(b), (f), July 18, 1984, 98 Stat. 976, 977, 1007; Pub. L. 99–499, title V, § 521(a)(1), Oct. 17, 1986, 100 Stat. 1774; Pub. L. 99–514, title XVII, § 1703(a), Oct. 22, 1986, 100 Stat. 2774; Pub. L. 100–17, title V, § 502(a)(4), (c)(2), Apr. 2, 1987, 101 Stat. 256, 257; Pub. L. 100–203, title X, § 10502(d)(2), Dec. 22, 1987, 101 Stat. 1330–444; Pub. L. 100–647, title I, § 1017(c)(1), (14), title II, § 2001(d)(5), title VI, § 6104(a), Nov. 10, 1988, 102 Stat. 3575, 3577, 3595, 3711; Pub. L. 101–508, title XI, §§ 11211(a)(1)–(3), (5)(A)–(C), (c)(3), (e)(3), 11212(a), (d)(1), (e)(2), 11215(a), Nov. 5, 1990, 104 Stat. 1388–423, 1388–424, 1388–426, 1388–427, 1388–430, 1388–432, 1388–436; Pub. L. 102–240, title VIII, § 8002(a)(3), Dec. 18, 1991, 105 Stat. 2203; Pub. L. 102–486, title XIX, § 1920(a), (b), Oct. 24, 1992, 106 Stat. 3026; Pub. L. 103–66, title XIII, §§ 13241(a), 13242(a), Aug. 10, 1993, 107 Stat. 510, 514; Pub. L. 104–188, title I, § 1609(a)(2), (g)(1), (2), (4)(B), Aug. 20, 1996, 110 Stat. 1841–1843; Pub. L. 105–2, § 2(a)(2), Feb. 28, 1997, 111 Stat. 4; Pub. L. 105–34, title X, §§ 1031(a)(2), 1032(b), 1033, Aug. 5, 1997, 111 Stat. 929, 933, 937; Pub. L. 105–178, title IX, §§ 9002(a)(1)(F), 9003(a)(1)(C), (b)(2)(B), (C), June 9, 1998, 112 Stat. 499, 502, 503; Pub. L. 108–357, title III, § 301(c)(7), title VIII, §§ 853(a)(1)–(3)(A), (4), 860(a), Oct. 22, 2004, 118 Stat. 1461, 1609–1611, 1618; Pub. L. 109–6, § 1(a), Mar. 31, 2005, 119 Stat. 20; Pub. L. 109–58, title XIII, §§ 1343(a), (b)(2), 1362(a), Aug. 8, 2005, 119 Stat. 1051, 1052, 1059; Pub. L. 109–59, title XI, §§ 11101(a)(1)(F), 11151(b)(1), (2), 11161(a)(1)–(4)(D), 11166(b)(1), Aug. 10, 2005, 119 Stat. 1944, 1968–1970, 1976; Pub. L. 110–161, div. K, title I, § 116(a), Dec. 26, 2007, 121 Stat. 2381; Pub. L. 110–190, § 2(a), Feb. 28, 2008, 122 Stat. 643; Pub. L. 110–253, § 2(a), June 30, 2008, 122 Stat. 2417; Pub. L. 110–330, § 2(a), Sept. 30, 2008, 122 Stat. 3717; Pub. L. 111–12, § 2(a), Mar. 30, 2009, 123 Stat. 1457; Pub. L. 111–69, § 2(a), Oct. 1, 2009, 123 Stat. 2054; Pub. L. 111–116, § 2(a), Dec. 16, 2009, 123 Stat. 3031; Pub. L. 111–153, § 2(a), Mar. 31, 2010, 124 Stat. 1084; Pub. L. 111–161, § 2(a), Apr. 30, 2010, 124 Stat. 1126; Pub. L. 111–197, § 2(a), July 2, 2010, 124 Stat. 1353; Pub. L. 111–216, title I, § 101(a), Aug. 1, 2010, 124 Stat. 2349; Pub. L. 111–249, § 2(a), Sept. 30, 2010, 124 Stat. 2627; Pub. L. 111–329, § 2(a), Dec. 22, 2010, 124 Stat. 3566; Pub. L. 112–7, § 2(a), Mar. 31, 2011, 125 Stat. 31; Pub. L. 112–16, § 2(a), May 31, 2011, 125 Stat. 218; Pub. L. 112–21, § 2(a), June 29, 2011, 125 Stat. 233; Pub. L. 112–27, § 2(a), Aug. 5, 2011, 125 Stat. 270; Pub. L. 112–30, title I, § 142(a)(1)(C), (2)(D), title II, § 202(a), Sept. 16, 2011, 125 Stat. 356, 357; Pub. L. 112–91, § 2(a), Jan. 31, 2012, 126 Stat. 3; Pub. L. 112–95, title XI, § 1101(a), Feb. 14, 2012, 126 Stat. 148; Pub. L. 112–102, title IV, § 402(a)(1)(C), (2)(D), Mar. 30, 2012, 126 Stat. 282; Pub. L. 112–140, title IV, § 402(a)(1)(C), (2)(D), June 29, 2012, 126 Stat. 402; Pub. L. 112–141, div. D, title I, § 40102(a)(1)(C), (2)(D), July 6, 2012, 126 Stat. 844; Pub. L. 114–55, title II, § 202(a), Sept. 30, 2015, 129 Stat. 525; Pub. L. 114–94, div. C, title XXXI, § 31102(a)(1)(C), (2)(D), Dec. 4, 2015, 129 Stat. 1727; Pub. L. 114–141, title II, § 202(a), Mar. 30, 2016, 130 Stat. 324; Pub. L. 114–190, title I, § 1202(a), July 15, 2016, 130 Stat. 619; Pub. L. 115–63, title II, § 202(a), Sept. 29, 2017, 131 Stat. 1171; Pub. L. 115–141, div. M, title I, § 202(a), Mar. 23, 2018, 132 Stat. 1048; Pub. L. 115–254, div. B, title VIII, § 802(a), Oct. 5, 2018, 132 Stat. 3428; Pub. L. 117–58, div. H, title I, § 80102(a)(1)(C), (2)(D), Nov. 15, 2021, 135 Stat. 1327; Pub. L. 118–15, div. B, title II, § 2212(a), Sept. 30, 2023, 137 Stat. 85; Pub. L. 118–34, title II, § 202(a), Dec. 26, 2023, 137 Stat. 1115; Pub. L. 118–41, title II, § 202(a), Mar. 8, 2024, 138 Stat. 23;
§ 4082. Exemptions for diesel fuel and kerosene
(a) In generalThe tax imposed by section 4081 shall not apply to diesel fuel and kerosene—
(1) which the Secretary determines is destined for a nontaxable use,
(2) which is indelibly dyed by mechanical injection in accordance with regulations which the Secretary shall prescribe, and
(3) which meets such marking requirements (if any) as may be prescribed by the Secretary in regulations.
Such regulations shall allow an individual choice of dye color approved by the Secretary or chosen from any list of approved dye colors that the Secretary may publish.
(b) Nontaxable useFor purposes of this section, the term “nontaxable use” means—
(1) any use which is exempt from the tax imposed by section 4041(a)(1) other than by reason of a prior imposition of tax,
(2) any use in a train, and
(3) any use described in section 4041(a)(1)(C)(iii)(II).
The term “nontaxable use” does not include the use of kerosene in an aircraft and such term shall not include any use described in section 6421(e)(2)(C).
(c) Exception to dyeing requirementsParagraph (2) of subsection (a) shall not apply with respect to any diesel fuel and kerosene—
(1) removed, entered, or sold in a State for ultimate sale or use in an area of such State during the period such area is exempted from the fuel dyeing requirements under subsection (i) of section 211 of the Clean Air Act (as in effect on the date of the enactment of this subsection) by the Administrator of the Environmental Protection Agency under paragraph (4) of such subsection (i) (as so in effect), and
(2) the use of which is certified pursuant to regulations issued by the Secretary.
(d) Additional exceptions to dyeing requirements for kerosene
(1) Use for non-fuel feedstock purposesSubsection (a)(2) shall not apply to kerosene—
(A) received by pipeline or vessel for use by the person receiving the kerosene in the manufacture or production of any substance (other than gasoline, diesel fuel, or special fuels referred to in section 4041), or
(B) to the extent provided in regulations, removed or entered—
(i) for such a use by the person removing or entering the kerosene, or
(ii) for resale by such person for such a use by the purchaser,
but only if the person receiving, removing, or entering the kerosene and such purchaser (if any) are registered under section 4101 with respect to the tax imposed by section 4081.
(2) Wholesale distributorsTo the extent provided in regulations, subsection (a)(2) shall not apply to kerosene received by a wholesale distributor of kerosene if such distributor—
(A) is registered under section 4101 with respect to the tax imposed by section 4081 on kerosene, and
(B) sells kerosene exclusively to ultimate vendors described in section 6427(l)(5)(B) with respect to kerosene.
(e) Kerosene removed into an aircraftIn the case of kerosene (other than kerosene with respect to which tax is imposed under section 4043) which is exempt from the tax imposed by section 4041(c) (other than by reason of a prior imposition of tax) and which is removed from any refinery or terminal directly into the fuel tank of an aircraft—
(1) the rate of tax under section 4081(a)(2)(A)(iii) shall be zero, and
(2) if such aircraft is employed in foreign trade or trade between the United States and any of its possessions, the increase in such rate under section 4081(a)(2)(B) shall be zero.
For purposes of this subsection, any removal described in section 4081(a)(3)(A) shall be treated as a removal from a terminal but only if such terminal is located within a secure area of an airport.
(f) Exception for Leaking Underground Storage Tank Trust Fund financing rate
(1) In general
(2) Exception for export, etc.
(g) Regulations
(h) Cross reference
(Aug. 16, 1954, ch. 736, 68A Stat. 483; Pub. L. 86–342, title II, § 201(e)(1), (2), Sept. 21, 1959, 73 Stat. 615; Pub. L. 89–44, title VIII, § 802(a)(1), (b)(1), June 21, 1965, 79 Stat. 159; Pub. L. 91–258, title II, § 205(c)(6), May 21, 1970, 84 Stat. 242; Pub. L. 98–369, div. A, title VII, §§ 733(a), 734(c)(1), July 18, 1984, 98 Stat. 977, 979; Pub. L. 99–514, title XVII, § 1703(a), Oct. 22, 1986, 100 Stat. 2775; Pub. L. 103–66, title XIII, § 13242(a), Aug. 10, 1993, 107 Stat. 517; Pub. L. 104–188, title I, § 1801(a), Aug. 20, 1996, 110 Stat. 1891; Pub. L. 105–34, title X, § 1032(c)(1), (2), (e)(3)(A), Aug. 5, 1997, 111 Stat. 933, 935; Pub. L. 105–206, title VI, § 6010(h)(3), (4), July 22, 1998, 112 Stat. 815; Pub. L. 108–357, title II, § 241(a)(2)(B), title VIII, §§ 851(d)(2), 853(a)(5), 854(a), 857(a), Oct. 22, 2004, 118 Stat. 1438, 1608, 1611, 1615, 1617; Pub. L. 109–58, title XIII, § 1362(b)(1), Aug. 8, 2005, 119 Stat. 1059; Pub. L. 109–59, title XI, § 11161(a)(4)(A), (E), (b)(3)(C), Aug. 10, 2005, 119 Stat. 1970, 1971; Pub. L. 109–432, div. A, title IV, § 420(b)(2), Dec. 20, 2006, 120 Stat. 2969; Pub. L. 110–172, §§ 6(d)(2)(B), (C), 11(a)(28), Dec. 29, 2007, 121 Stat. 2480, 2481, 2487; Pub. L. 112–95, title XI, § 1103(a)(2), Feb. 14, 2012, 126 Stat. 150.)
§ 4083. Definitions; special rule; administrative authority
(a) Taxable fuelFor purposes of this subpart—
(1) In generalThe term “taxable fuel” means—
(A) gasoline,
(B) diesel fuel, and
(C) kerosene.
(2) GasolineThe term “gasoline”—
(A) includes any gasoline blend, other than qualified methanol or ethanol fuel (as defined in section 4041(b)(2)(B)), partially exempt methanol or ethanol fuel (as defined in section 4041(m)(2)), or a denatured alcohol, and
(B) includes, to the extent prescribed in regulations—
(i) any gasoline blend stock, and
(ii) any product commonly used as an additive in gasoline (other than alcohol).
For purposes of subparagraph (B)(i), the term “gasoline blend stock” means any petroleum product component of gasoline.
(3) Diesel fuel
(A) In generalThe term “diesel fuel” means—
(i) any liquid (other than gasoline) which is suitable for use as a fuel in a diesel-powered highway vehicle, or a diesel-powered train,
(ii) transmix, and
(iii) diesel fuel blend stocks identified by the Secretary.
(B) Transmix
(b) Commercial aviation
(c) Certain uses defined as removal
(d) Administrative authority
(1) In generalIn addition to the authority otherwise granted by this title, the Secretary may in administering compliance with this subpart, section 4041, and penalties and other administrative provisions related thereto—
(A) enter any place at which taxable fuel is produced or is stored (or may be stored) for purposes of—
(i) examining the equipment used to determine the amount or composition of such fuel and the equipment used to store such fuel,
(ii) taking and removing samples of such fuel, and
(iii) inspecting any books and records and any shipping papers pertaining to such fuel, and
(B) detain, for the purposes referred in subparagraph (A), any container which contains or may contain any taxable fuel.
(2) Inspection sites
(3) Penalty for refusal of entry
(A) Forfeiture
(B) Assessable penalty
(Aug. 16, 1954, ch. 736, 68A Stat. 483; Pub. L. 94–455, title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834; Pub. L. 99–514, title XVII, § 1703(a), Oct. 22, 1986, 100 Stat. 2776; Pub. L. 103–66, title XIII, § 13242(a), Aug. 10, 1993, 107 Stat. 517; Pub. L. 105–34, title IX, § 902(b)(3), title X, § 1032(a), (e)(4), Aug. 5, 1997, 111 Stat. 873, 933, 935; Pub. L. 105–206, title VI, § 6010(h)(1), July 22, 1998, 112 Stat. 815; Pub. L. 108–357, title III, § 301(c)(8), title VIII, §§ 853(b), 858(a), 859(b)(1), 870(a), Oct. 22, 2004, 118 Stat. 1461, 1611, 1617, 1618, 1623; Pub. L. 109–59, title XI, § 11123(b), Aug. 10, 2005, 119 Stat. 1952; Pub. L. 112–95, title XI, § 1103(b), Feb. 14, 2012, 126 Stat. 151; Pub. L. 114–55, title II, § 202(c)(1), Sept. 30, 2015, 129 Stat. 525; Pub. L. 114–141, title II, § 202(c)(1), Mar. 30, 2016, 130 Stat. 324; Pub. L. 114–190, title I, § 1202(c)(1), July 15, 2016, 130 Stat. 619; Pub. L. 115–63, title II, § 202(c)(1), Sept. 29, 2017, 131 Stat. 1171; Pub. L. 115–141, div. M, title I, § 202(c)(1), Mar. 23, 2018, 132 Stat. 1048; Pub. L. 115–254, div. B, title VIII, § 802(c)(2), Oct. 5, 2018, 132 Stat. 3429; Pub. L. 118–15, div. B, title II, § 2212(c)(2), Sept. 30, 2023, 137 Stat. 85; Pub. L. 118–34, title II, § 202(c)(2), Dec. 26, 2023, 137 Stat. 1116; Pub. L. 118–41, title II, § 202(c)(2), Mar. 8, 2024, 138 Stat. 24; Pub. L. 118–63, title XIII, § 1302(c)(2), May 16, 2024, 138 Stat. 1433.)
§ 4084. Cross references
(1) For provisions to relieve farmers from excise tax in the case of gasoline used on the farm for farming purposes, see section 6420.
(2) For provisions to relieve purchasers of gasoline from excise tax in the case of gasoline used for certain nonhighway purposes, used by local transit systems, or sold for certain exempt purposes, see section 6421.
(3) For provisions to relieve purchasers from excise tax in the case of taxable fuel not used for taxable purposes, see section 6427.
(Added Pub. L. 103–66, title XIII, § 13242(a), Aug. 10, 1993, 107 Stat. 518.)