How much is the gas tax in Indiana?

Indiana taxes gasoline two ways: a 34-cent-per-gallon excise tax plus a 7% gasoline use tax tied to a monthly state-published price. Add the 18.4-cent federal excise and total state-plus-federal tax often runs around 60-plus cents per gallon.

What is the Indiana gasoline use tax?

It is a 7% sales tax on motor fuel, charged on an average per-gallon price the state publishes each month. Because it tracks fuel prices, it rises and falls with the market. This tool estimates it from the pump price you enter.

How much is Indiana's diesel tax?

Indiana's special-fuel (diesel) excise tax is 57 cents per gallon, higher than the gasoline excise. The federal diesel excise adds 24.4 cents per gallon, so diesel carries a notably higher combined tax than gasoline.

Is the gas tax included in the pump price?

Yes. Both the Indiana excise and use tax and the federal excise are built into the price you see at the pump. You do not pay them separately, but they make up a meaningful share of each gallon's cost.

Why does the use tax change over time?

The gasoline use tax is a percentage of the fuel price, and the state recalculates the per-gallon amount monthly based on average prices. When fuel prices rise, the use-tax portion rises too, even though the rate stays at 7%.

Indiana Gas Tax Calculator

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Indiana is one of the few states that taxes gasoline twice at the state level: a flat excise tax plus a percentage-based use tax that moves with fuel prices. This calculator adds those to the federal excise so you can see your true fuel tax bill per year and per mile.

How it works

For gasoline, Indiana charges:

excise tax ........ $0.34 per gallon (indexed annually)
use tax ........... 7% of the fuel price (set monthly by the state)
federal excise .... $0.184 per gallon

Diesel pays a higher 57-cent-per-gallon state excise plus the 24.4-cent federal excise. The tool estimates the gasoline use tax from the pre-tax portion of the pump price you enter, multiplies your annual gallons by the combined per-gallon tax, and can also express the result as tax per mile using your MPG.

Example

Driving 12,000 miles a year at 25 MPG burns 480 gallons. At a 3.30 dollar pump price, the gasoline use tax is about 19 cents a gallon, so the combined Indiana plus federal tax is roughly 0.71 dollars per gallon — about 341 dollars a year, or near 2.8 cents per mile.

Notes

The use tax is approximate because the state recomputes it monthly from average prices; your exact figure varies with fuel costs. Diesel is modeled with the excise only on the state side. Verify current rates at in.gov/dor.