Regulations and Government
Fuel Fraud Repeal Gains Traction Under Plane Act
A GAO study estimated that the aviation trust fund may have lost well over $1 billion because of the nearly 15-year-old fuel fraud tax law.
The Government Accountability Office estimated that fuel vendors have overpaid by as much as $230 million in tax revenue as a result of the fuel fraud law.
The Government Accountability Office estimated that fuel vendors have overpaid by as much as $230 million in tax revenue as a result of the fuel fraud law.

The nearly 15-year effort to repeal the highway diesel fuel tax on business aviation took a notable step forward with this week’s introduction of the so-called Plane Act (S.2198). Jointly introduced on Monday by Sen. James Inhofe (R-Oklahoma) and Angus King (I-Maine), the bill would roll back the “fuel fraud” tax measure imposed in 2005 as an attempt to discourage truck drivers from purchasing aviation jet fuel to avoid paying the 2.5-cent per gallon higher tax levy on highway diesel fuel.