# Presentation: 917178

## HIGHWAY TRUST FUND

**HIGHWAY TRUST FUND**

**National Surface Transportation Infrastructure Financing Commission**

**April 2007**

## Highway Trust Fund

**Highway Trust Fund**

***Federal-aid Highway Act of 1956****** ***
*** *****Provided authorizations for FY 1957 to 1969**
** ****Established Trust Fund to collect revenue to pay for the authorizations, FY 1957 to 1972*****                              ***

***SAFETEA-LU ***
** ****Extended authorizations for FY 2005 to 2009**
** ****Extended Trust Fund taxes through FY 2011**

## Highway Trust Fund Income* Highway Account – FY 2006

**Highway Trust Fund Income* ****Highway Account – FY 2006**

**Gasoline & Gasohol - $20.1**

**Diesel & Special Fuels– $7.9**

**Total = $33.6 Billion**

**Other - $0.03 **

**Truck Sales – $3.6**

**Truck Tires - $0.5**

**Truck Use - $1.4**

***Net of  transfers & refunds**

**$ Billions**

## Highway Trust Fund Income* Mass Transit Account – FY 2006  

**Highway Trust Fund Income* ****Mass Transit Account – FY 2006 **** **

**Gasoline & Gasohol - $3.76**

**Diesel & Special Fuels – $1.08**

**Total = $4.8 Billion**

**Other - $0.00000007**

***Net of  transfers & refunds**

**$ Billions**

## Federal Gasoline Tax

**Federal Gasoline Tax**

**18.4 cents**

**0.1 cent**

**L.U.S.T.            Trust  Fund**

**2.86 cents**

**15.44 cents**

**Mass Transit Account**

**Highway Account**

**Effective October 1, 1997**

**In cents per gallon**

## Federal Diesel Tax

**Federal Diesel Tax**

**24.4 cents**

**0.1 cent**

**2.86 cents**

**21.44 cents**

**Mass Transit Account**

**Highway Account**

**L.U.S.T           Trust Fund**

**Effective October 1, 1997**

**In cents per gallon**

## Other Fuels

**Other Fuels**

**Liquefied Petroleum Gas (Propane, Butane) – 18.4****¢/gal.**
** ****Liquefied Natural Gas – 24.4****¢/gal.**
** ****Methanol from natural gas (M85, M100) – 9.25****¢/gal.**
*** *****Compressed Natural Gas – 18.3****¢ /gasoline gallon equivalent**

## Federal Truck User Taxes

**Federal Truck User Taxes**

**Truck Sales:**

**12% of retail price for trucks over 33,000 lbs or trailers over 26,000 lbs GVW**

**Truck Use:**

**Up to 55,000 lbs**
**Over 55,000 lbs**

**No tax**
**$100 + $22/1000 lbs over 55,000         $550 maximum**

**Tires:**

**9.45 cents for each 10 pounds exceeding 3500 lbs maximum rated load capacity (4.725 cents for bias-ply or super single tire)**
**Effective January 1, 2005**

## How Taxes Are Collected

**How Taxes Are Collected**

***All taxes collected by the IRS***
*** *****Fuel taxed at the terminal rack-paid by the “position holder” (seller)**
** ****Truck sales tax paid by the retailer**
**Truck tire tax paid by the manufacturer**
**Quarterly returns, but twice monthly estimated payments required**
**Heavy vehicle use tax paid *****annually***** by the vehicle owner*****                  ***

## Fuel Distribution System

**Fuel Distribution System**

## Fuel Tax Refunds and Credits

**Fuel Tax Refunds and Credits**

**Certain users and/or uses of fuel are exempt from tax.**
**Fuel taxed before it reaches the end user, so need to issue refunds for an exempt use.**
**User files for refunds, quarterly unless small amount.**
**In some cases, exempt user can assign his refund right to the seller (ultimate vendor) and buy at a tax excluded price.**

## Exempt Uses/Users

**Exempt Uses/Users**

**Exempt Users:  State and local governments, charitable and educational institutions.**
**Exempt Uses:**
**Used on farm**
**Mass transit**
**Off-highway diesel**
**Off-highway business use of gasoline**
**Intercity buses (partial exemption)**

## Highway Account Income & Outlays

**Income**

**Outlays**

## Highway Account Balance

## Outlay Rates                                                        How fast obligated funds become expended

**Outlay Rates                                                 ****       ****How fast obligated funds become expended**

## Mass Transit Account Balance