# Tax - General (GTG)

## Title 9. Fuel Taxes

### Subtitle 3. Motor Fuel Tax

#### Section 9-315

(a) A licensed dealer or licensed special fuel seller shall deduct 0.5% of the 1st 10 cents of the motor fuel tax on each gallon of motor fuel, as a discount:

  (1) instead of an allowance for evaporation, shrinkage, and handling; and

  (2) to reimburse the licensed dealer or licensed special fuel seller for expenses incurred for the State in:

    (i) keeping records;

    (ii) collecting and paying the tax; and

    (iii) preparing reports.

(b)

  (1) This subsection does not apply to:

    (i) any aviation gasoline; or

    (ii) any other motor fuel on which the motor fuel tax has not been paid.

  (2) From the discount under subsection (a) of this section:

    (i) a licensed dealer who sells gasoline to a retail service station dealer shall deduct on the bill 1/2 of the discount;

    (ii) a licensed dealer who sells gasoline to a licensed distributor or licensed special fuel seller shall deduct on the bill 2/3 of the discount;

    (iii) a licensed distributor who sells motor fuel to a retail service station dealer shall deduct on the bill 1/3 of the discount;

    (iv) a licensed special fuel seller who sells special fuel to a retail service station dealer shall deduct on the bill 1/2 of the discount;

    (v) a licensed special fuel seller who sells special fuel to a licensed distributor shall deduct on the bill 2/3 of the discount; and

    (vi) a licensed special fuel seller who sells gasoline to a licensed distributor shall deduct on the bill 1/3 of the discount.

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Md. Code Ann., Tax-Gen. (as displayed at mgaleg.maryland.gov, October 16, 2026)