Lost or destroyed fuel

From the 2024 DOR Tax Exemption Study

82.38.180(1)(d,e); 82.38.180(2)(d) - Lost or destroyed fuel Description The motor vehicle and special fuel taxes may be refunded for taxes paid on fuel lost or destroyed through fire, lightning, flood, windstorm, or explosion. A tax refund is also available for losses of 500 gallons or more through leakage or other casualty except evaporation, shrinkage, or other unknown causes. A refund may be requested for special fuel taxes paid on fuel inadvertently mixed with dyed special fuel. Purpose To impose fuel tax only on fuel used on Washington’s public highways. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $7.040 $7.110 $7.180 $7.250 Local Taxes $0.000 $0.000 $0.000 $0.000 Repeal of Repealing this exemption would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $6.520 $7.180 $7.250 Local Taxes $0.000 $0.000 $0.000 $0.000 Assumptions - This repeal takes effect July 1, 2024, and impacts 11 months of collections in fiscal year 2025. - Growth rate mirrors the fuel tax collections growth rate reflected in the Transportation Revenue Forecast Council's March 2023 forecast