Fuel tax relief pursued at Missouri statehouse

September 15, 2022

Keith Goble


Pursuit is underway at the Missouri statehouse to make changes to fuel tax collection in the state.

The General Assembly convened Wednesday after Gov. Mike Parson called them back to the capital for a special session that focuses on tax cuts and credits.

The governor says the largest revenue surplus in state history warrants returning to taxpayers a portion of the extra money.

“Our plan puts more of Missourians’ hard-earned dollars back in their pockets and aims to make it a little easier for families to put food on the table and gas in the car,” Parson said.

Although the focus is on income taxes and agriculture tax credits, one state senator wants to include relief from higher fuel costs.

Recent fuel tax increase

The governor a year ago signed into law a bill to increase the 17-cent fuel tax rate by 12.5 cents to 29.5 cents over five years. The law includes a fuel tax rebate program for residents.

The first installment of annual 2.5-cent increases took effect last October. The second installment went into effect on July 1. The tax rate now is set at 22 cents for gas and diesel purchases. Additional 2.5-cent increases will take effect each July through 2025.

Legislative pursuit to quell increases

Sen. Mike Moon, R-Ash Grove, has introduced two bills to provide some tax relief for many highway users.

The first bill, SB10, would repeal the tax increases and return the rate for gas and diesel to 17 cents. Similar pursuits were introduced during the 2022 regular session, but none garnered much support.

The second bill, SB11, would include truck drivers in the state’s fuel tax rebate program linked to the 2021 tax increase.

Missouri motorists have until Sept. 30 to file refund applications for the additional 2.5 cents per gallon the state collected on gas tax purchases from Oct. 1 to June 30.

The refund application period begins each July 1 for additional fuel tax collected.

Currently, rebates are available only for consumers who purchase fuel for vehicles weighing up to 26,000 pounds.

Moon’s bill would remove the weight restriction to make rebates available to Missouri truck drivers. Both bills have been sent to the Senate Appropriations Committee. LL

More Land Line coverage of Missouri news is available.