Michigan Fuel Tax Rates, May 2016

Prepaid sales tax rates for fuel sold in Michigan are subject to change monthly. For the first time in many months, fuel tax rates are increasing.

May 2016 prepaid sales tax rates

• Gasoline: 10 cents per gallon
• Diesel fuel: 10.9 cents per gallon

Prepayment is generally required, as of April 1, 2016, at the time of purchase or shipment from a marine terminal operator, pipeline terminal operator, or refiner. Prepayment is not required under the following circumstances:

• Fuel is purchased or received by a “supplier” or “exporter” for immediate export
• The transaction involves one of the following:
  • A “bulk transfer”
  • A “two-party exchange”
  • Receipt of fuel as part of a bulk transfer

Additional information is available through the Michigan Department of Treasury.

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