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Bill

Bill

SB 179

Relating to: applying the motor vehicle fuel tax supplier’s administrative allowance to diesel fuel, a motor vehicle fuel tax refund for evaporation losses, and making an appropriation. (FE)

2025-2026 Regular Session Introduced by Dan Feyen and 3 co-sponsors

Wisconsin extends fuel tax supplier discounts to diesel and creates refund for evaporation losses, reducing fuel tax revenue with state appropriation required.

Read first time and referred to committee on Rules
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WeVote Research Nonpartisan
Bill Summary · SB 179

Legislative bill overview

SB 179 modifies Wisconsin's motor vehicle fuel tax structure by extending the supplier's administrative allowance (a discount on fuel taxes) to diesel fuel and creating a refund mechanism for fuel lost to evaporation during storage and transport. The bill includes a fiscal appropriation to cover the revenue impact of these changes.

Why is this important

These changes affect fuel pricing throughout Wisconsin's supply chain, potentially lowering costs for diesel distributors and fuel retailers. The evaporation refund addresses a practical compliance issue where fuel legitimately disappears before sale, which currently results in taxes paid on product never sold to consumers.

Potential points of contention

  • Fiscal impact: The bill reduces fuel tax revenue; fiscal estimate indicates cost to the state budget that must be appropriated elsewhere
  • Equity across fuel types: Extending the administrative allowance to diesel (likely already applied to gasoline) raises questions about whether uniform treatment is fair or if different fuels should be taxed differently
  • Evaporation threshold: Defining acceptable evaporation losses and preventing abuse of the refund mechanism could be administratively complex and contentious
  • Pass-through uncertainty: Whether cost savings actually reach consumers or remain with distributors and retailers is unclear

Compiled from official sources — confirm details with the bill’s official record.

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