Indian Tribal Exemption
For an Indian tribe to be eligible for the tax exemption, the Indian tribe must:
- Impose a tax on the distribution of motor vehicle fuel at the same rate as the license tax imposed under Oregon Revised Statutes 319.020 (1) (b). Effective January 1, 2024, that rate is $0.40 per gallon.
- Spend the revenue from the tax imposed solely for uses that are consistent with the requirements of Article IX, section 3a of the Oregon Constitution; and
- Certify annually to the Department that the Indian tribe complies with these requirements.
For an Indian tribe to certify their compliance, prior to January 1 of each year, the Indian tribe must submit to the Department:
- A letter, on tribal letterhead, signed by an authorized member; stating that the tribe has imposed a tax on the distribution of motor vehicle fuel at the same rate as the state license tax imposed by ORS 319.020 (1) (b), and that the revenue generated by the tax is used in accordance with Article IX, section 3a, of the Oregon Constitution.
- A copy of the tribal tax ordinance.
- A list of service stations operated on the Indian tribe's reservation or trust land. The list must include:
- The name of the service station operator (Indian tribe, tribal entity, tribal member entity),
- The physical address of the service station, and
- Types of fuel sold.
Indian tribes may submit the letter and attachments by regular mail to:
Oregon Department of Transportation
Fuels Tax Group MS 21
355 Capitol St NE
Salem, OR 97301
or by e-mail to ODOTFuelsTax@odot.oregon.gov
If you have any questions or need any additional information, please contact:
Motor Vehicle Fuel Dealer Information for Tax-Exempt Sales to Indian Tribes
Prior to selling tax-exempt motor vehicle fuel to Indian tribes, tribal entities, or tribal member entities, Motor Vehicle Fuel Dealers must ensure that the fuel purchaser is eligible to purchase tax-exempt fuel. If a Motor Vehicle Fuel Dealer sells ex-tax motor vehicle fuel to an Indian tribe, tribal entity or tribal member entity that is not certified by the Department, that Dealer is liable for the tax owed on the sale of the fuel.
Motor Vehicle Fuel Dealers will list tax-exempt sales of all fuels to Indian tribes, tribal entities, or tribal member entities on their Motor Vehicle Fuel and Aircraft Fuel Dealer Tax Report, using Schedule 10T. All tax reports must be filed in compliance with ORS 319.020, 319.190, and Oregon Administrative Rules, Chapter 735, Division 170.
The ODOT Fuels Tax Group will post and maintain a list of certified Indian tribes, tribal entities, and tribal member entities eligible to purchase tax-exempt motor vehicle fuel below.
Exempt Indian Tribes and Entities:
Confederated Tribes of the Umatilla Indian Reservation
- Arrowhead Travel Plaza
- Mission Market
Confederated Tribes of the Grand Ronde Community of Oregon