Executive Order 14435: Emergency Tax Relief on Diesel Fuel (Trump, 2026)

President: Donald J. Trump

Directs conditional diesel excise-tax payment deferral, dyed-diesel penalty relief and fuel-access coordination; it does not grant permanent tax forgiveness.

Status: Agency directions in effect; tax deferral conditional on Treasury determinations

No executive-order number was displayed by the White House or verified in the Federal Register’s 2026 table when checked on October 8, 2026. The signing date identifies this order; a number has not been inferred.

What does the diesel order do?

The October 5, 2026 order directs Treasury to assess relief under 26 U.S.C. 7508A and, if legally authorized, postpone specified diesel excise-tax payments for affected taxpayers. It separately directs an IRS announcement of dyed-diesel highway-use penalty relief for October 5–December 31, 2026. Treasury guidance must identify eligibility, conditions and the eventual payment date. The order asks Treasury to explore forgiveness, including legislation, but does not itself forgive the deferred tax.

The purpose section attributes the measure to restricted global diesel supply and rising prices affecting farmers and truckers. Those are the administration’s stated reasons for the order. The operative relief is targeted and temporary, rather than a general repeal of federal diesel taxes.

SignedOctober 5, 2026
Order number14435
Relief periodOctober 5–December 31, 2026

Is it still in effect?

The signed order directs federal agencies to act, but the tax deferral is conditional. Treasury must first determine that relief is authorized under 26 U.S.C. 7508A, identify the qualifying event and affected taxpayers, and issue implementing guidance. This review did not locate Treasury or IRS guidance establishing those determinations or the final payment date as of October 8, 2026. The order also directs a separate dyed-diesel penalty-relief announcement. The signed text alone does not establish that every taxpayer can defer payment or that deferred taxes have been forgiven.

Deferral, penalty relief and forgiveness are different

Payment deferral requires statutory findings

Section 2(a) does not make a blanket finding that every farmer, trucker or fuel purchaser qualifies. Treasury must determine whether a qualifying event has occurred and which taxpayers are affected under section 7508A. Only if those determinations are made does the order direct payment deferral, and only to the extent authorized by law. Section 2(b) similarly qualifies relief from penalties, interest and additions to tax on deferred amounts.

Dyed-diesel penalties have a separate direction

Section 2(c) directs Treasury to have the IRS announce relief from the two specified section 6715 penalties for dyed diesel sold for highway use or used on highways during the covered dates. The announcement must also address semimonthly-deposit penalties. That direction is separate from the qualifying-event determinations for payment deferral; it should not be presented as a repeal of the underlying excise-tax liability.

The payment date must come from guidance

December 31, 2026 is the end of the period in which covered tax liabilities may be incurred and covered dyed-diesel sales or highway use may occur. It is not a repayment date supplied by the order. Section 3 requires implementing guidance to state the date by which postponed taxes must be paid, together with the precise relief, conditions, legal basis and covered persons, locations, acts, liabilities and deadlines.

No permanent forgiveness is granted

Section 4 instructs Treasury to explore ways to eliminate the payment obligation, including legislation. Exploring that possibility is not forgiveness. Unless a later lawful measure provides otherwise, payment postponement and penalty relief must be described separately from cancellation of the tax debt.

Who had to do what

Assignments in sections 2–8 and 9(d) of the signed order
Agency / officialWhat the signed order directedDeadline / timing
Secretary of the TreasuryIn consultation with the Secretary of War as appropriate, determine whether section 7508A authorizes relief, including a qualifying event and affected taxpayers. If so, defer the specified section 4041(a)(1)(A) or 4041(b)(1)(B) taxes incurred by those taxpayers, to the extent authorized by law. Deferred amounts are to be postponed without penalties, interest or additions to tax where legally authorized. Issue guidance specifying the relief, conditions, legal basis, covered taxpayers and liabilities, relief periods and postponed-payment date. Explore avenues, including legislation, to eliminate the deferred payment obligation. Assess IRS tank-inspection and fuel-sampling resources during the relief period and publicly announce the determination.Determinations within 5 days of October 5, 2026; covered liabilities incurred October 5–December 31, 2026. Guidance, forgiveness exploration and compliance-resource announcement have no separate stated deadline; repayment date must be set in guidance.
Internal Revenue ServiceAt Treasury’s direction, announce that section 6715(a)(1) and (a)(2) penalties will not be imposed for dyed diesel sold for highway use or used on highways during the covered period. Address relief from penalties for failure to make semimonthly deposits of that tax.Treasury must direct the announcement within 5 days; covered sale or use October 5–December 31, 2026.
Secretary of WarConsult with Treasury, as appropriate, on the determination of whether section 7508A relief is authorized.Within Treasury’s 5-day determination period; no separate deadline specified.
Secretary of TransportationAct through the FMCSA Administrator to coordinate safe and expedient implementation with states, relevant industry leadership and labor organizations, and maintain lawful compliance enforcement.No separate deadline specified; enforcement continues.
Administrator of the Federal Motor Carrier Safety AdministrationEngage the named stakeholders and continue compliance measures, including audits, inspections and monitoring programs, as provided by law.Ongoing; no separate deadline specified.
Secretary of AgricultureCoordinate with agricultural cooperatives, rural fuel distributors, farm supply organizations and other selected stakeholders to ensure dyed-diesel distribution in high-demand areas; encourage corresponding state action. Agriculture also bears the publication costs.No separate deadline specified.
Director of the White House Office of Intergovernmental AffairsEngage states and encourage policies corresponding to Treasury’s exercise of the relief authority, in accordance with applicable law.No separate deadline specified.

The order names state governments and private stakeholders as coordination partners; it does not command them to adopt matching policies. Its general provisions preserve existing agency authority and OMB’s budgetary, administrative and legislative functions rather than assigning OMB a new implementation task.

What happened next

The President signed the order. It identifies October 5–December 31, 2026 as the covered liability and dyed-diesel relief period.

The White House signed text and Federal Register 2026 listing were checked. The listing still ended at EO 14434; no number or Federal Register publication was verified for this order. This review did not locate the implementing Treasury or IRS guidance.

Published in the Federal Register as Executive Order 14435, 91 FR 64747. Federal Register publication

Five calendar days after signing: the order’s deadline for Treasury’s section 7508A determinations and direction to the IRS to make the specified penalty-relief announcement. This is a deadline, not a finding that either action occurred.

End of the covered period described in section 2. The date for paying postponed taxes must be specified separately in Treasury guidance.