Fuel Tax

Overview

The Fuel Tax is paid by retail sellers of the following:

  • Heating oil, propane, kerosene, and other dyed diesel fuel delivered in Vermont
  • Natural gas
  • Electricity
  • Coal

Certain sales are not subject to the Fuel Tax. Please see the instructions for more details. The rate schedule is as follows:

Fuel Type Rate
Heating oil, propane, kerosene, and other dyed diesel fuel delivered in Vermont $0.02/gallon
Natural gas and coal 0.75%
Electricity 0.5%

For natural gas, coal, and electricity, the tax is computed on the retail sale price of the fuel. The Fuel Tax is set to expire on June 30, 2024. There is an additional petroleum distributor licensing fee for heating oil, kerosene, and other dyed fuel sold in the state. This licensing fee will terminate on April 1, 2031.

How to File

Online
Taxpayers may file returns and pay tax due using myVTax, our free, secure, online filing site. See the myVTax Resource Center for information about our online filing system. Information regarding the retailer election can be found here.

Paper Returns
If you cannot file and pay through myVTax, you may still use the paper forms.​

Other Reports
The Fuel Tax may be itemized on a delivery ticket, invoice, or statement. If a fuel dealer chooses to itemize, the invoice must include a statement that says the tax is “for support of Vermont’s Low Income Home Weatherization Program.” 33 V.S.A. § 2503(b).

Forms

No. Instructions Title
FGR-615 Instructions Fuel Tax And Petroleum Distributor Licensing Fee Return
Publications
FS-1173   Taxation of Fuels

Filing Deadlines

The Fuel Tax and the petroleum distributor licensing fee are filed and paid monthly, with the return and tax due 25 days after the end of each calendar month. These can be filed in myVTax.

Print due Dates (pdf)

Final Quarterly Return
Tax Period Ending Due Date
12/31/2019 1/27/2020
3/31/2020 4/27/2020
6/30/2020 7/27/2020
9/30/2020 10/26/2020
12/31/2020 1/25/2021
Monthly Returns
Tax Period Ending Due Date
12/31/2019 1/27/2020
1/31/2020 2/25/2020
2/28/2020 3/25/2020
3/31/2020 4/27/2020
4/30/2020 5/26/2020
5/31/2020 6/25/2020
6/30/2020 7/27/2020
7/31/2020 8/25/2020
8/31/2020 9/25/2020
9/30/2020 10/26/2020
10/31/2020 11/25/2020
11/30/2020 12/28/2020
12/31/2020 1/25/2021

LAWS, REGULATIONS AND GUIDANCE
33 V.S.A. § 2503 Fuel Tax