Nebraska Issued Motor Fuel Tax Relief

The state department authorized fuel tax refunds for transporters of agricultural products through late December.

Updated on Sept. 29, 2026 in Agriculture

Isometric editorial illustration of a fuel nozzle and trailer hitch assembly, representing Nebraska's agricultural transportation tax relief program.
The Nebraska Department of Revenue has initiated a motor fuel tax relief program for transporters of agricultural products to help reduce overhead costs. AI Illustration. Upload story photo >

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Do you support state fuel tax relief for local agricultural transporters in your area?

The Nebraska Department of Revenue has launched a temporary motor fuel tax relief program for transporters of agricultural products. This initiative allows qualifying taxpayers to claim refunds on motor fuel taxes paid for undyed diesel used in their operations.

Why it matters

The program aims to support the movement of Nebraska-sourced agricultural products by reducing overhead costs for transport operators during the busy harvest season. This financial relief helps maintain the efficiency of the state's vital agricultural supply chain.

The tax on dyed diesel is set at $0.0025 per gallon under the relief order. Taxpayers must utilize Form 84AG to formally claim these fuel tax refunds.

The players

Nebraska Department of Revenue

This state agency is responsible for the administration and enforcement of tax laws and revenue collection across Nebraska.

The details

Taxpayers must submit Form 84AG along with specific documentation proving fuel taxes paid and proof of agricultural transportation activity to receive relief. IFTA taxpayers are required to report their activity using detailed records of tax-paid undyed diesel usage.

Timeline

  1. September 24, 2026: Qualifying diesel fuel usage began.

  2. October 1, 2026: Tax relief for dyed diesel took effect.

  3. December 23, 2026: The window for qualifying diesel fuel usage ends.

Market Landscape

This tax relief initiative aligns with state-level efforts to protect agricultural supply chains from volatile energy costs. It follows the precedent set by Executive Order No. 26-21 to stabilize transport operations for Nebraska-sourced commodities.

Agricultural transporters can lower their operational expenses by properly documenting fuel usage and submitting the required forms before the December deadline. This program provides a direct financial opportunity for businesses moving local products to recoup fuel tax costs paid.

The takeaway

Eligible transporters should ensure all receipts and activity logs are archived to simplify the filing process for Form 84AG. Keeping clean records is the most effective way for these businesses to maximize the tax benefits authorized by the state.

Further reading

Learn more about the state's Agriculture initiatives and policies here.

Live Poll

Do you support state fuel tax relief for local agricultural transporters in your area?