Arizona statute prescribes both civil and criminal penalties for violations of the fuel tax laws, and related offenses. Civil penalties are in addition to any taxes and interest due, and may include a penalty of 50% of the tax assessed if any part of the deficiency is due to fraud.

Criminal violations include those involving fuel tax evasion; impeding or obstructing enforcement of the laws; illegally using (or assisting another in using) dyed fuel on a highway; attempting to remove or alter the strength or composition of dye contained in fuel; and the filing of false statements or reports, including false claims for tax refunds. Willful violations may result in imprisonment.