Watertown, Wis. [October 12, 2026] – Wisconsin Corn Growers Association is reminding growers that President Donald Trump’s recent executive order providing temporary federal diesel fuel tax relief does not supersede Wisconsin law or eliminate state penalties for using dyed diesel fuel on public roads.
On Monday, Oct. 5, President Trump signed an executive order intended to provide relief amid high diesel fuel prices.
The order directs federal agencies to provide temporary relief from certain federal taxes and penalties associated with using dyed diesel on public roads through the end of 2026. However, the federal action does not override Wisconsin’s existing motor fuel tax laws.
Under Wisconsin law, using dyed diesel fuel on public roads carries a state penalty of $1,000 or twice the amount of unpaid fuel tax, whichever is greater. These requirements and penalties remain in effect despite the federal executive order.
Several Wisconsin agriculture organizations reviewed the order’s legal implications and consulted with state lawmakers, Legislative Council and the governor’s office to determine whether similar relief could be implemented in Wisconsin. Based on that review, the governor does not have the authority to suspend the statutory requirements through executive action. Changes would require legislative action.
At the federal level, the executive order directs the Internal Revenue Service not to impose federal penalties for on-road use of dyed diesel through the end of the year. It also directs the administration to postpone collection of federal fuel taxes on undyed diesel without interest or penalties and to explore whether those taxes could ultimately be forgiven. Forgiving the underlying federal taxes would likely require congressional action.
Wisconsin Corn Growers Association encourages growers to understand the distinction between federal tax relief and state law before making fuel-use decisions. The executive order does not make using dyed diesel on Wisconsin public roads legal under state law, and growers may still face state fuel tax penalties.
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About the Wisconsin Corn Growers Association
Wisconsin Corn Growers Association (WCGA) is a united, grassroots-driven member organization representing growers from across Wisconsin on important state and national agricultural issues in an effort to increase member profitability and opportunity. For more information, visit wicorn.org.
