Fuel used to process petroleum products

From the 2024 DOR Tax Exemption Study

82.23A.030(5) - Fuel used to process petroleum products Description Natural gas, petroleum coke, liquid fuel, and fuel gas used in processing petroleum products are exempt from petroleum products tax. The exemption expires on July 1, 2030. Purpose Excludes fuels consumed in processing and restricts the tax to products sold at retail. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.690 $0.690 $0.172 $0.690 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 $0.632 $0.172 $0.690 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. - The petroleum products tax will be suspended in July 2025. It is expected to be reactivated in April 2026, and remain on through fiscal year 2027 before being suspended at the beginning of fiscal year 2028 for the next two quarters. Data Sources - Department of Revenue, Excise tax return data - Economic and Revenue Forecast Council, March 2023 forecast - U.S. Ene