10 States With the Lowest Gas Tax in 2026
Getting gas in these states with the lowest gas taxes can save you money on your next road trip.
You may be thinking a lot about gas taxes recently, and honestly, that makes sense as gas prices continue to climb. The federal gasoline tax is holding steady at 18.4 cents per gallon, but state taxes, which vary depending on where you live, are a different story.
Right now, the average state gas tax is about 33 cents per gallon, with some states making small increases to keep up with inflation and fund road and infrastructure projects. In other words, a few extra cents here and there can start to add up faster than you might expect.
And the range is striking. California sits near the top at 63.4 cents per gallon, while Alaska is on the opposite end at around 9 cents per gallon. So, depending on your location, gas taxes can either feel like a minor detail or a noticeable part of your total at the pump.
This ranking utilizes the latest gas tax information from the Tax Foundation, which does not include some local taxes, like sales taxes on net or gross receipts, or indirect burdens from environmental programs. The "total gas tax" includes the current federal rate. However, states might increase or decrease tax rates at any time, and some states might also be offering gas tax holidays. Check your state or local municipal revenue website for more information.
Changes in state gas and diesel fuel tax rates for 2026
Although the national average gas tax rate was nearly flat heading into 2026, there were still a few dramatic structural changes and emergency pauses to fuel taxes in certain states.
One of the biggest changes came from Michigan, which eliminated its 6% sales tax at the pump at the start of the year and replaced it with a higher flat excise tax. This jumped the rate from roughly 31 cents to 52.4 cents per gallon to secure more stable funding for road repairs.
Meanwhile, Utah passed House Bill 575, dropping its gasoline tax from 37.9 cents per gallon down to 31.9 cents from July 1 through the end of 2026.
However, the defining trend of 2026 became emergency relief. Following a spike in energy prices caused by the war in Iran, regular gasoline surged to a national average of $4.43 per gallon in 2026. To buffer drivers ahead of the midterm elections, about one-third of all U.S. states rolled out gas tax holidays or emergency cuts. Some states, like Georgia, Indiana, and Ohio, paused or suspended their taxes entirely.
While these holidays continue to offer quick relief at the pump, critics note they often starve state infrastructure budgets and that retail stations frequently pocket a portion of the tax savings. Still, these sweeping election-year interventions disrupted the normal, gradual pace of state tax policy.
With that being said, let's dive into the states with the lowest baseline taxes on gasoline.

10. New Hampshire
State gas tax: 23.75 cents per gallon
Total gas tax: 42.15 cents per gallon
New Hampshire recently replaced Nevada to take the #10 spot on the list of states with the lowest gas taxes.
The total state and local gasoline tax averages approximately 23.75 cents per gallon (cpg), with diesel fuel taxed similarly.
While the fuel tax is low enough to make this list, travelers should note that New Hampshire takes a different approach overall. The state has no sales tax and no income tax on wages, which can make day-to-day spending feel lighter.
Instead, it relies more on property taxes and select local taxes (like meals and lodging), creating a mixed tax landscape.

9. North Dakota
State gas tax: 23.03 cents per gallon
Total gas tax: 41.43 cents per gallon
While the fuel tax keeps North Dakota on the lower end nationally, North Dakota still sits in the low 20-cent-per-gallon range for gasoline, with diesel taxed slightly lower. This places the state near the bottom of the fuel tax tier, though not at the very lowest.
North Dakota levies a flat, statewide 23-cent per gallon tax on gasoline and diesel, with only a minor 0.025-cent inspection fee added. Overall, the state features a highly competitive and straightforward fuel tax system, consistently ranking among the lowest fuel tax rates in the nation.

8. Delaware
State gas tax: 23 cents per gallon
Total gas tax: 41.4 cents per gallon
Although fuel taxes keep Delaware among the lower-tax states, it has a 23-cent-per-gallon gas tax and a total tax of about 41.4 cents per gallon, placing it in the lower-middle range nationally.
Delaware's fuel tax structure has remained completely unchanged since 1995, but the state has recently adjusted other revenue streams — like increasing tolls and DMV registration fees — to support long-needed road and bridge improvements, reflecting its ongoing focus on maintaining and upgrading its transportation network.

7. Louisiana
State gas tax: 20.93 cents per gallon
Total gas tax: 39.33 cents per gallon
Louisiana's tax on gasoline is about 21 cents per gallon. You can fill up your diesel-powered vehicle at the same tax rate of about 21 cpg, too.
Even though Louisiana has a low statewide sales tax rate of 5%, localities can charge an additional 5.11%, according to the Tax Foundation. That’s a lot of sales tax!

6. Texas
State gas tax: 20 cents per gallon
Total gas tax: 38.4 cents per gallon
Texas is popular as a state with no income tax. Of course, if you’re just passing through, being a no-income-tax state doesn't help 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 Lone Star State can feel less costly.

5. Oklahoma
State gas tax: 20 cents per gallon
Total gas tax: 38.4 cents per gallon
With a gasoline tax of $0.20 and a diesel fuel tax to match, stopping for gas in Oklahoma just makes sense. Although it technically ties with Texas on its gas tax rate, it gains a slight advantage with its state sales tax, which is a remarkably low 4.5%.
But the gas tax jumps $0.05 per gallon in Kansas, which has a gas tax of 25 cents per gallon. It might not seem like a lot, but those savings can add up. So, consider filling up in Oklahoma if you're heading north.

4. Arizona
State gas tax: 19 cents per gallon
Total gas tax: 37.4 cents per gallon
Arizona has a lower excise tax on gas than Oklahoma, at only $0.19 per gallon.
Diesel fuel is taxed at the same rate for some drivers. However, the rate jumps to $0.26 for heavy vehicles.

3. New Mexico
State gas tax: 18.88 cents per gallon
Total gas tax: 37.28 cents per gallon
Visiting New Mexico can offer a bit of a break at the pump, with a gas tax in the high teens per gallon (about 18.8 cents in tax), placing it among the lower-tax states nationally.
Diesel drivers pay slightly more, with a special fuel tax of around 22.88 cents per gallon plus small additional fees, bringing the total to around 23 cents per gallon. Still, both gasoline and diesel remain relatively inexpensive compared to most states.

2. Hawaii
State gas tax: 18.5
Total gas tax: 36.9 cents per gallon
Hawaii’s gas tax is nearly double Alaska’s, yet it remains relatively reasonable at just 18.5 cents per gallon. This number doesn't include local tax options, so you could end up paying a higher rate.
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.

1. Alaska
State gas tax: 9 cents per gallon
Total gas tax: 27.4 cents per gallon
Alaska takes the win for having the lowest gas tax. At about 9 cents 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.
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.
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Gabriella Cruz-Martínez is a finance journalist with 8 years of experience covering consumer debt, economic policy, and tax.
Gabriella’s work has also appeared in Yahoo Finance, Money Magazine, The Hyde Park Herald, and the Journal Gazette & Times-Courier.
As a reporter and journalist, she enjoys writing stories that empower people from diverse backgrounds about their finances, no matter their stage in life.
- Kate Schubel Senior Tax Writer