10 States With the Lowest Gas Taxes

North Dakota

Gas tax total: $0.23 per gallon of gasoline

North Dakota’s gas tax ties with Delaware. Both states tax gasoline at $0.23 per gallon. And the tax on diesel is $0.23 in North Dakota, too. 

Tax rates jump to $0.30 once you get to South Dakota. Gas taxes in Minnesota and Montana (other bordering states) are higher than in North Dakota, too. So, it’s a good idea to fill up in the Peace Garden State if you’re passing through.

Delaware

Gas tax total: $0.23 per gallon of gasoline

Delaware’s gas tax is $0.23, but the state taxes diesel at $0.22. That’s good news for drivers. Gas taxes become significantly higher when you cross state lines.

You won’t spend any of your money on taxes when you grab snacks for the road. Delaware is one of the states with no sales tax. Of course, sales taxes are higher in bordering states, too.

Louisiana

Gas tax total: $0.201 per gallon of gasoline

Louisiana's excise tax on gasoline is just $0.20. The state charges a very modest $0.001 in extra taxes and fees, earning it the state with the 8th cheapest gas taxes. You can fill up your diesel-powered vehicle at the same tax rate of $0.201, too.

Things go downhill for convenience store purchases, though. Even though Louisiana has a low statewide sales tax rate of 4.45%, localities can charge an additional 7%, according to the Tax Foundation. That’s a lot of sales tax! And, if you want a lot of snacks, you could easily spend what you saved on gas.

Texas

Gas tax total: $0.20 per gallon of gasoline

Texas treats its residents pretty great when it comes to income taxes. Of course, if you’re just passing through, being a state with no income tax doesn’t help you much. However, you can pay low taxes when you fill up your vehicle. At just $0.20 per gallon of gasoline and per gallon of diesel fuel, driving across the second largest state in the U.S. can feel less costly.

Oklahoma

Gas tax total: $0.19 per gallon of gasoline

In Oklahoma, the gas tax ties with Arizona at $0.19 per gallon. With a gasoline tax of $0.19 and a diesel fuel tax to match, stopping for gas in Oklahoma just makes sense.

Gas tax jumps $0.05 per gallon in Kansas, which has a gas tax of $0.24. It might not seem like much, but those savings can add up. So, it's a good idea to fill up in Oklahoma if you're heading north. 

Arizona

Gas tax total: $0.19 per gallon of gasoline

Arizona has a cheaper excise tax on gas than Oklahoma does, but the additional $0.01 Arizona adds in additional taxes and fees causes the state to tie with Oklahoma. Diesel fuel taxes become a bit rough in Arizona, though. You can expect to pay a $0.27 total diesel fuel tax when you fill up in this state. 

New Mexico

Gas tax total: 0.189 per gallon of gasoline

Visiting New Mexico can offer a nice gas tax break. The state imposes a $0.17 excise tax on gasoline. Though Mexico charges $0.019 in other fees and taxes, the total gas tax still comes in at under $0.20.

Diesel truck owners aren’t quite as lucky. The excise tax on diesel fuel is $0.21, and with the same $0.019 in additional fees, diesel tax totals $0.229. Still, that is less expensive than most states in the country.

Mississippi

Gas tax total: $0.184 per gallon of gasoline 

If you can, stop for a fill up in Mississippi. Gas taxes are still below $0.20, and you can enjoy the same $0.184 tax rate on diesel fuel, too. Gas taxes become more expensive in the bordering states of Tennessee and Alabama.

But Mississippi tax isn’t all good. You might want to avoid making too many purchases when you stop for gas. The state has a high sales tax rate, and Mississippi even taxes groceries at the full 7%.

Hawaii

Gas tax total: $0.16 per gallon of gasoline

Hawaii’s gas tax is nearly double Alaska’s, but it is still very reasonable at a mere $0.16. The bad news is that this number does not include local tax options, so you could pay a higher rate. Additionally, it’s unlikely you will drive to Hawaii since the state is surrounded by the Pacific Ocean.

Hawaii also has one of the lowest sales tax rates in the U.S., but try to avoid grocery shopping in the state since groceries are taxable.

Alaska

Gas tax total: $0.09 per gallon of gasoline

Alaska takes the win for states with the cheapest gas tax. At only $0.09 per gallon, you can drive further with that $20 bill, and that’s a good thing since Alaska is the largest state in the U.S. Of course, no U.S. states border Alaska, so a road trip might be out of the question unless you fly there first. 

If you do find yourself in Alaska, you can also enjoy no state sales tax. However, localities can charge their own sales tax, so don’t be surprised if your convenience store purchase costs a little more than expected.