Virginia Launches Cents-Per-Gallon Gas Tax | NACS – Media – NACS Daily
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Virginia Launches Cents-Per-Gallon Gas Tax

The nation’s first CPG gas tax takes effect July 1, 2013.
June 11, 2013

​​RICHMOND – Virginia’s 2013 General Assembly has passed a measure eliminating the state’s 17.5 cents per gallon gasoline and diesel taxes, effective July 1.

In its place, a new tax will be imposed on a cents-per-gallon basis: 3.5% of the average wholesale price of unleaded regular at all Virginia racks over the last six month, or the average wholesale price on February 20, 2013 — whichever is higher. 

For the period of July 1 to December 31, 2013, the per-gallon-tax for gasoline will be 11.1 cents and the tax on diesel will be 20.2 cents. Additionally, the Virginia Petroleum Storage Tank Fee of 6/10th of a cent is assessed on every gallon. The existing 17.5 cents tax must be assessed for all gallons purchased at the rack through 11:59 pm on June 30. 

An additional tax of 2.1% of the wholesale price will be imposed in certain jurisdictions.