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Alternative Fuels Tax

Alternative fuels used to propel vehicles on public highways are subject to the alternative fuels tax. Alternative fuels include natural gas, compressed natural gas, liquid propane gas, liquified petroleum gas, alcohols, gasoline-alcohol mixtures containing at least 85 percent alcohol by volume, hydrogen, hythane, electricity and any other fuel not taxable as liquid fuels or fuels.

​Alternative fuels dealer-users must remit this tax. Reports and payments are due by the 20th day of each month for fuel sold or used in the preceding month. The Department of Revenue may permit dealer-users to report the tax
on an annual basis, provided the amount of annual tax liabilities meet criteria set by the department.

For detailed and historic Pennsylvania alternative fuels tax information, please review the Tax Compendium.