States With the Lowest Gas Tax

2026

Top 10 US states with the lowest state gas tax in 2026. Alaska leads at under 16 cents/gallon. Notable for retirees, gig drivers, and long-haul commuters.

Written and reviewed by Konstantin Iakovlev · Methodology · Updated

Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.

Ranked by total state cents per gallon (lowest first)

Total state gas tax = state excise + state sales tax (if applied to fuel) + storage and clean-air fees. Sourced from American Petroleum Institute Q1 2026 50-state report. Federal 18.4¢ excise is excluded.

  1. 1

    Alaska

    Alaska — ~15¢/gallon. The lowest in the country since the 1970s. Funded primarily by oil-and-gas severance revenue; refunds half its excise revenue back to local jurisdictions.

    paycheck → income tax → property tax → cost of living →
  2. 2

    Mississippi

    Mississippi — ~18¢/gallon. State excise 18¢, no state sales tax on motor fuel. Has not been raised since 1989 — multiple legislative proposals have failed.

    paycheck → income tax → property tax → cost of living →
  3. 3

    Hawaii

    Hawaii — ~18¢/gallon state, but combined county taxes push pump tax to ~30¢. State excise was lowered to 16¢ in 2025 to offset general inflation pressure on islands dependent on imports.

    paycheck → income tax → property tax → cost of living →
  4. 4

    New Mexico

    New Mexico — ~19¢/gallon. State excise 17¢ + 1¢ Petroleum Products Loading Fee + 1¢ UST.

    paycheck → income tax → property tax → cost of living →
  5. 5

    Arizona

    Arizona — ~19¢/gallon. State excise 18¢ + 1¢ UST. 2026 legislative session debating an indexation formula but has not passed.

    paycheck → income tax → property tax → cost of living →
  6. 6

    Missouri

    Missouri — ~22¢/gallon. SB 262 (2021) phased state excise from 17¢ to 29.5¢ — fully ramped as of 2026 — but a rebate provision returns ~7¢/gallon to drivers who keep receipts.

    paycheck → income tax → property tax → cost of living →
  7. 7

    Oklahoma

    Oklahoma — ~22¢/gallon. State excise 19¢ + 1¢ UST + 2¢ underground storage. Has not adjusted base excise since 1987 — among the most stagnant in the country.

    paycheck → income tax → property tax → cost of living →
  8. 8

    Texas

    Texas — ~24¢/gallon. State excise 20¢ + UST. Constitutional ban on dedicating gas tax to non-transportation use; voters rejected indexation in 2014.

    paycheck → income tax → property tax → cost of living →
  9. 9

    Louisiana

    Louisiana — ~24¢/gallon. State excise 20¢ + 4¢ Transportation Infrastructure fund. 2018 attempt to raise to 38¢ failed at the legislature.

    paycheck → income tax → property tax → cost of living →
  10. 10

    South Carolina

    South Carolina — ~28¢/gallon. State excise 28¢ + 0.75¢ inspection. Phased up from 16¢ over 6 years (2017-2022 Roads Bill); now at the cap.

    paycheck → income tax → property tax → cost of living →

Methodology note: This listicle is curated based on Q1 2026 data verified against each state's Department of Revenue + Tax Foundation 50-state reports. Rankings reflect tax structure and are not investment advice. Cost of living, employment opportunities, climate, and personal preferences should also factor into relocation decisions.