Motor Fuel Tax Reduction for Gasohol

June 08, 2004


Gasohol used on Alaska's highways is taxed at the same rate as gasoline (8¢ per gallon). However, the rate is reduced to 2¢ per gallon when gasohol is sold for consumption in a designated area and during the period that gasohol is required under state or federal law. At this time, the State of Alaska requires gasohol to be sold in Anchorage from October 27 to March 1. Gasohol is fully tax exempt if blended using wood alcohol or alcohol produced from the processing of waste seafood, and if produced within the first five years of a facility's processing such alcohol.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Alaska
Incentive Type: Sales Tax Incentive
Web Site:
Administrator: Alaska Department of Revenue
Start Date:
Eligible Renewable/Other Technologies:
Incentive Amount: $.06/gallon
Maximum Incentive: $.08/gallon


Name: Alaska Stat. § 43.40.010
Expiration Date: 6/30/04


Name: Robynn Wilson
Organization: Alaska Department of Revenue
Address: 550 West 7th Avenue, Suite 500
Anchorage AK 99501-3556
Phone: (907) 269-6634

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.