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Supply Chain-Based Solution to Prevent Fuel Tax Evasion

Project Information

Project ID: 
FHWA-PROJ-09-0029
Project Status: 
Completed
Start Date: 
Monday, August 17, 2009
End Date: 
Tuesday, September 30, 2014
FHWA Program: 
Exploratory Advanced Research
FHWA Topics: 
Research/Technologies--FHWA Research and Technology
TRT Terms: 
Fuel Taxes; Research; Sensors; Fuels; Crimes Involving Transportation; Fuel Tanks
TRB Subject Area: 
Finance, Administration and Management

Contact Information

First Name: 
Michael
Last Name: 
Dougherty
Telephone: 
(202) 493-2222
Team: 
Motor Fuel and Driver License Team
Office:
Office of Highway Policy Information
Office Code: 
HPPI-10

Project Details

Project Description: 

The research presents a unique concept for targeting fuel-tax evasion that could result in two important breakthroughs. The first is the development of inline sensors to authenticate nanoscale markers in fuel. The second is the integration of exterior sensors to detect the volume of fuel in a tank truck and determine the open or closed position of the valve and Global Positioning System communication. The research addresses preventing three types of fuel-tax evasion: (1) nontaxable or low-taxable petrochemical products from being "blended" with taxable fuel products; (2) taxable fuel products from cross-jurisdictional evasion (i.e. paying State tax in a low-tax State but selling in a high-tax State); (3) selling "exported" fuel domestically.

Deliverables