
Fuel prices in the states of Tennessee and Mississippi are a little different. North Mississippi is a little cheaper than southwest Tennessee. And these are just two regions, the entirety of both states follow a similar price difference. Mississippi Department of Revenue Petroleum Tax Bureau states that the tax on gasoline is 21 cents per gallon and Tennessee Department of Transportation (TDOT) states that their tax on gasoline is 27.4 cents a gallon. This is clear evidence on why fuel is cheaper in one state or the other.
All in all, Fuel prices differ simply because of state taxes. Mississippi has some of the lowest state fuel taxes in the country ranking 2nd lowest according to 2024 data. While Tennessee has higher state fuel taxes. Tennessee is 32nd highest in the nation when it comes to state fuel taxes. So, for anyone wondering why these two states and areas have differing prices the answers are simple. The answers are, location, proximity to fuel refineries and then state taxes.