Fuels Tax History
The history of the gas tax begins when Oregon lawmakers were looking for a way to fund road construction. Oregon passed the nation’s first per-gallon tax on gasoline in February 1919. The first gasoline tax was one cent per gallon. The revenue was used for early road building projects including the Pacific Highway and the Columbia River Highway.
Just over a decade later every state and the federal government had a gas tax. It became the most important funding source for the modern transportation network.
Who We Are
The Fuels Tax Group is part of the Financial Services Branch of the Oregon Department of Transportation. The group currently consists of 21 employees.
We consistently and fairly administer fuels tax laws for funding a safe, efficient transportation system that supports economic opportunity and livable communities for all Oregonians.
Fuels Tax Group is responsive, respectful and responsible. We value customer service, accountability and professionalism.
What We Do
The group has four main functions:
- Licensing and tax report processing for motor vehicle fuel dealers and use fuel licensees.
- Fuels tax refund processing.
- Tax compliance audit services.
- Collection of delinquent accounts.
We administer fuels tax laws following Oregon Revised Statutes Chapter 319. We also administer the fuels tax ordinances for Multnomah County, Washington County and the cities of Woodburn, Eugene, Springfield, Cottage Grove, Veneta, Tigard, Milwaukie, Coquille, Coburg, Astoria, Warrenton, Canby, Newport, Hood River, Reedsport, Troutdale, and Portland.
Types of Taxes We Collect
Type of fuel taxes we collect include gasoline, ethanol blends, diesel, biodiesel, propane, compressed natural gas, aircraft fuel (e.g. aviation gasoline and jet fuel) as well as any usable fuel for a motor vehicle or an aircraft.
How Taxes Are Used