White House · Tuesday, October 6, 2026
Trump lets truckers and farmers burn cheaper, untaxed red diesel on the highway through year’s end
The File desk · Oct 6, 2026, 10:50 AM UTC
Status
Confirmed that the order was signed Oct. 5 and what it directs. The 24.4-cent rate, the roughly $60 fill, and the $100-plus savings are White House figures. Relief still depends on a Treasury finding that has not been made.
- Confirmed
President Trump signed
on Oct. 5, 2026. It tells Treasury to defer the highway diesel taxes inLegal instrument
Emergency Tax Relief on Diesel Fuel
The order President Trump signed Oct. 5, 2026. It lets drivers use untaxed red-dye diesel on highways from Oct. 5 through Dec. 31 and tells Treasury to put off the federal diesel tax on that fuel, without interest or penalties, if 26 U.S.C. § 7508A allows it. The tax is deferred, not erased. The order has no number yet and is not in the Federal Register.
for Oct. 5 through Dec. 31 ifLegal instrument
26 U.S.C. § 4041
The federal excise tax on diesel sold for, or burned in, a highway vehicle. Diesel used off the road, in a tractor or a furnace, is outside this tax.
allows it, and to have the IRS announce it will not impose the dyed-fuel penalties inLegal instrument
26 U.S.C. § 7508A
Lets the Treasury secretary push back tax deadlines for up to a year after a federally declared disaster, a significant fire, or a terroristic or military action. The diesel order leans on this section, so Treasury must first decide that such an event occurred.
for that window.Legal instrument
26 U.S.C. § 6715
A penalty, on top of the tax, for selling or using red-dyed tax-free fuel for a taxable use such as driving on a public highway.
- Confirmed
The White House says the federal diesel tax is 24.4 cents a gallon, about $60 on a 250-gallon fill, and that savings top $100 a fill where states match. Those figures are the White House’s.
- Confirmed
The tax is put off, not erased. The order tells Treasury to explore ways, including legislation, to forgive it. Treasury has five days from Oct. 5, about Oct. 10, to decide whether the law allows the delay.
Off-road diesel is dyed red and sold without the highway tax, for tractors, bulldozers, and furnaces. Burning it on a public road normally means the tax plus a fine. On Monday night President Trump signed an order, Legal instrument The order President Trump signed Oct. 5, 2026. It lets drivers use untaxed red-dye diesel on highways from Oct. 5 through Dec. 31 and tells Treasury to put off the federal diesel tax on that fuel, without interest or penalties, if 26 U.S.C. § 7508A allows it. The tax is deferred, not erased. The order has no number yet and is not in the Federal Register. Legal instrument Lets the Treasury secretary push back tax deadlines for up to a year after a federally declared disaster, a significant fire, or a terroristic or military action. The diesel order leans on this section, so Treasury must first decide that such an event occurred.Emergency Tax Relief on Diesel Fuel
26 U.S.C. § 7508A
The order gives Treasury five days, in consultation with the Secretary of War as appropriate, to decide whether relief is allowed under Legal instrument Lets the Treasury secretary push back tax deadlines for up to a year after a federally declared disaster, a significant fire, or a terroristic or military action. The diesel order leans on this section, so Treasury must first decide that such an event occurred. Legal instrument The federal excise tax on diesel sold for, or burned in, a highway vehicle. Diesel used off the road, in a tractor or a furnace, is outside this tax. Legal instrument The federal excise tax on diesel sold for, or burned in, a highway vehicle. Diesel used off the road, in a tractor or a furnace, is outside this tax.26 U.S.C. § 7508A
26 U.S.C. § 4041
26 U.S.C. § 4041
Inside the same five days, Treasury must tell the Internal Revenue Service to announce it will not impose a penalty under Legal instrument A penalty, on top of the tax, for selling or using red-dyed tax-free fuel for a taxable use such as driving on a public highway.26 U.S.C. § 6715
A later section tells the Treasury secretary to explore avenues, including legislation, to eliminate the duty to pay what was deferred. That is a request to look at forgiveness. It is not forgiveness.
The White House release says the federal diesel tax is 24.4 cents a gallon, or about $60 on a 250-gallon fill. It says that where states match the move, savings will top $100 a fill. Those are White House figures. This desk did not pull a pump price from the Energy Information Administration.
The fact sheet says restricted global diesel supply has led to rising prices. It blames the Russia-Ukraine war and too little refining capacity worldwide, including, in the fact sheet’s words, “Democrat-led States that chose to shut down their refineries.” That sentence is the White House’s political claim.
Trump spoke in Nebraska. A separate White House release says he traveled to Grand Island that day. In the White House’s quote, he said he would “allow anyone to purchase tax-free red dye diesel for any reason.”
The order also tells the IRS to decide how much fuel-tank inspection and sampling to do while the relief lasts. The Transportation Department’s Federal Motor Carrier Safety Administration is to work with states, industry, and unions, and keep enforcing safety rules. The agriculture secretary is to make sure dyed diesel reaches high-demand areas. The White House intergovernmental office is to urge states to match the federal tax move with their own fuel taxes.
The order has no number yet, and it is not in the Federal Register. Nothing on the pages fetched says Treasury has already made the finding under Legal instrument Lets the Treasury secretary push back tax deadlines for up to a year after a federally declared disaster, a significant fire, or a terroristic or military action. The diesel order leans on this section, so Treasury must first decide that such an event occurred.26 U.S.C. § 7508A
What is still unknown or disputed
- Whether Treasury will find a qualifying event under . That law covers disasters, major fires, and terroristic or military actions. The order does not say which one it is using.
Legal instrument
26 U.S.C. § 7508A
Lets the Treasury secretary push back tax deadlines for up to a year after a federally declared disaster, a significant fire, or a terroristic or military action. The diesel order leans on this section, so Treasury must first decide that such an event occurred.
- Which states will match the federal move.
- How much highway-fund money is delayed, and the date the delayed tax comes due.
- Whether the IRS announcement is up. This desk did not check IRS.gov.
- A current diesel price. This desk did not fetch the Energy Information Administration.
Primary sources
Every claim in this story is drawn from the documents below. If a fetch failed, that is recorded on the card.
Source 1
Emergency Tax Relief on Diesel Fuel
The White House · October 5, 2026
defer payment by those taxpayers of the taxes imposed by 26 U.S.C. 4041(a)(1)(A) or by 26 U.S.C. 4041(b)(1)(B) and that are incurred during the period of October 5, 2026, through December 31, 2026.
https://www.whitehouse.gov/presidential-actions/2026/10/emergency-tax-relief-on-diesel-fuel/
Source 2
Fact Sheet: President Donald J. Trump Promotes Diesel Affordability
The White House · October 5, 2026
Today, President Donald J. Trump signed an Executive Order to temporarily allow off-road “dyed” diesel for highway use and defer the applicable Federal excise tax, lowering costs for Americans.
https://www.whitehouse.gov/fact-sheets/2026/10/fact-sheet-president-donald-j-trump-promotes-diesel-affordability/
Source 3
President Trump Takes Decisive Action to Lower Diesel Costs for American Truckers, Farmers
The White House · October 5, 2026
The federal diesel tax is 24.4 cents per gallon, or about $60 on a 250-gallon fill.
https://www.whitehouse.gov/releases/2026/10/president-trump-takes-decisive-action-to-lower-diesel-costs-for-american-truckers-farmers/
Source 4
President Trump and Republicans Are Delivering Real Results for Nebraska
The White House · October 5, 2026
Today, President Donald J. Trump travels to Grand Island, Nebraska.
https://www.whitehouse.gov/releases/2026/10/president-trump-and-republicans-are-delivering-real-results-for-nebraska/