sales tax for desiel fuel

Anonymous-0 · Feb 14, 2014

went to fill my fuel cans to plow snow here in PA.the women asked me if it was for home heat,or farm use. I told her it was to cold to make hay, and I burn wood for heat. was going to use it to plow snow.she charged me sales tax.maybe if I told them I was going to use it to burn a cross or a flag I wouldn't be taxed. I expland to her it was off road use but she still charged me the tax.a few cents on a couple of gallon isn't going to break me .but isn't this still america

NEBeef · Feb 14, 2014

Of course it's still America - that's why you got taxed...

rustyplow · Feb 14, 2014

Just for the sake of whats right, go back find the manager and get your tax back. The gal needs to be set straight, right?

NCWayne · Feb 14, 2014

Even though I don"t see law enforcement push it, technically speaking, even if you put the fuel I your tractor and drive it on the road, you are supposed to pay the "road use" tax on the fuel because you are using it on the road. If you had told the woman it was for your farm tractor/for off road use you wouldn"t have been required to pay the tax.

Bryan inIowa · Feb 14, 2014

I"d just told her farm use and be on my way

showcrop · Feb 14, 2014

Here in NH we don't pay road use tax for farm equipment unless we don't bother to file for the rebate. I expect, however, that there are a half dozen other taxes on it besides the road use.

rustyplow · Feb 14, 2014

OK, after thinking about it, a question. Sales tax or Road tax? Big difference.

Part Time Pete · Feb 14, 2014

Great point NE!
If you buy taxed diesel and use it for off road equipment, I think you can deduct the road tax from your income taxes. Of course here in NY, there are plenty of other taxes on a gallon of fuel.

gwece · Feb 14, 2014

Here in the "great" state of Illinois we small time farmers can't get a refund of state motor fuel tax anymore on diesel that you buy in cans/tanks at local gas stations. Formerly you could buy the diesel (paying the tax at time of purchase) and then apply for a refund of the state Motor Fuel Tax every year from the Illinois Dept. of Revenue. Can't do that anymore....they just reject your refund application and tell you to buy farm fuel from a farm fuel supplier. Kinda crappy deal if you don't use enough farm fuel to justify keeping onfarm tanks plus it cost 5 or 6 cents more per gallon to buy off a farm delivery truck.

Earl Gray · Feb 14, 2014

Were you plowing snow on a farm? I think you failed the test!

DoubleR · Feb 14, 2014

You must have gave her the wrong answer.
You should have told her it was for off road use being used for the production of agriculture products. That would have covered you in Michigan anyway.

rrlund · Feb 14, 2014

Well,kinda sorta. I don't know for sure about diesel in Michigan,but if you buy gas,either at the pump or delivered to the farm,you pay the tax,both state and federal. Either way,from the pump or delivered you need a receipt with the base price of gas,the federal tax and the state tax listed. Then you have 12 months from the time of purchase to send the paid receipt to Department of Treasury,Motor Fuels Division for a refund. The Federal tax,you just claim as a tax credit on your Federal Income Tax form.
They did that to us on diesel delivered to the farm for just a short time,charging the tax then having to apply for a refund but it was a very short time. I would imagine diesel at the pump would be about the same deal. You'd need the receipt with the base price and tax listed separate then you'd have to apply for the refund.

Anonymous-0 · Feb 14, 2014

why didn't you just say farm use and be done with it. when you give too much info. you pay for it

DoubleR · Feb 14, 2014

I just get my Diesel Del on the farm and it is for off road use for the farm. It is minus the road use tax on it the way I understand it. It is usually about 60 cents a gallon cheaper than the pump price.
I don't get gas del. for farm use, I just pay the price at the pump. I do claim what I use on my taxes. As I understand it, you can file with the State of Mi and get the road use tax refunded as long as you prove it was for Farm use. That doesn't count driving your gas Farm truck on the public roads. Just off-road use in your equipment doing Farm Related business. I don't file for any refund on the gas I use. I just have one gas tractor that I probably run about 25 gallons a year through it. Not worth the hassle.

rrlund · Feb 14, 2014

I go through about 900 gallons of gas a year. I have it delivered. There's a special form that you have to include with the receipts. When you send it in they automatically send you another one for next time. It asks how many gallons of storage you have,how much you put in road vehicles and how many gallons you bought. As I said,you include the receipts. Not much to it once you get the form the first time.
When I was first starting out I bought a lot in 5 gallon cans. That was back when a gas station was a gas station of course and the attendant knew what he was doing. I always got it at the same station. He'd have to "reverse engineer" the receipts and figure the tax first to get to the base price. If you asked one of these counter jockeys to do that anymore they'd stand there with their jaw on their shoes.

ss55 · Feb 14, 2014

The lady was probably doing what her boss told her to do: if it's not for home heat or for farm use, it gets taxed.

T in NE · Feb 15, 2014

No one sells dyed fuel at the station?

Pitch · Feb 15, 2014

Most of our stations have a pump off to the side labeled Dyed Fuel. When you go into pay for it you sign a clipboard attesting that it is for heating or off road use.

sales tax for desiel fuel

Anonymous-0

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NEBeef

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rustyplow

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NCWayne

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Bryan inIowa

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showcrop

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rustyplow

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Part Time Pete

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gwece

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Earl Gray

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DoubleR

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rrlund

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Anonymous-0

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DoubleR

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rrlund

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ss55

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T in NE

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Pitch

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