Maritime Fuel Tax Parity Act

The Maritime Fuel Tax Parity Act extends an existing tax exemption for alternative motorboat fuels to cover vessels operating exclusively between U.S. Atlantic coast ports (including the Gulf of Mexico) or Pacific coast ports (including territories). This change, effective after December 31, 2021, removes an excise tax for these domestic coastal vessels on qualifying fuels. The exemption previously applied to other vessel types but did not cover vessels confined to single-coast domestic trade. The bill does not alter tax treatment for vessels operating internationally or between different coasts.