Filling Up in Minnesota? Here’s How Much Goes to Taxes

Now that gas prices in Rochester are already over the $4 a gallon mark, just how much does the state of Minnesota tax each gallon, and how does it compare to neighboring states and the national average?

Breaking Down Minnesota’s Current Gas Tax Rates

The old saying about death and taxes being the only two sure things you can count on is starting to prove painfully true when you fill up your vehicle these days. As I wrote about earlier in March, thanks to uncertainty in the oil market caused by the Trump administration's ongoing events in the Middle East, we're all experiencing that pain at the pump, and gas prices have soared to their highest levels in four years.

SEE ALSO: The Expensive Mistake Some Minnesotans Make at the Gas Pump

Adding to the high cost of gas right now is the amount of taxes that are collected on each gallon you put into your vehicle. Gasoline is taxed not only by the state of Minnesota, but by the federal government as well. But how do Minnesota's gas taxes compare to neighboring states?

How Much of Your $4 Gallon Goes to Minnesota-- And Uncle Sam?

According to Kiplinger's, Minnesota implemented a tax of $.32.6 cents for every gallon of unleaded and diesel gasoline sold in the state in 2026, up from the $.31.8 collected in 2025. NerdWallet says that Minnesota's rate will rise again on July 1st, when it will be $.33.9 cents per gallon.

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Meanwhile, Uncle Sam in Washington, D.C. takes another $.18.4 cents per gallon, meaning Minnesotans shell out a little over $.52 cents in taxes for every gallon of gasoline we buy. And given that the price for unleaded is around $4.09 a gallon right now, that means just over 12 percent of that price is what we pay in taxes in Minnesota.

Comparing Minnesota Fuel Taxes to Other States

So how does that rate with other states? While you might think Minnesota's gas tax rate is high, it's actually in the middle of the pack. NerdWallet says that we rank 16th out of the 50 states, putting us in the 'higher than average' category, but not in the top-tier of the highest-taxed states.

NerdWallet reports that California’s rate (69.8 cents per gallon) and Illinois’s rate (67.1 cents) are the highest in the country, followed by Pennsylvania (58.7 cents). Meanwhile, Alaska has the lowest state tax (9 cents per gallon), followed by Mississippi (18.4 cents) and Hawaii (18.5 cents).