Tax Refund

[smedman]

While we are on the subject of taxes....

I just heard that you can get a refund of your "Fuel Taxes" for "off-highway" use of fuel here in TX.

Link to the form here: http://www.window.state.tx.us/taxinfo/taxforms/06-106.pdf

Not sure if other states do this. I have heard in Canada you can actually buy "blue fuel" (or something like that) that is the same, just designated for off road use only.

Anyway, if you've saved your gas receipts you might be able to get a few hundred bucks back here in TX.

[Big Dubya]

Good golly, i can't imagine anything like that ever getting traction in California.

[chadwick02]

You can do that here in MA (and several other states):

Alaska

Connecticut

Massachusetts

Missouri

Nebraska

N. Carolina

Texas

Virginia

Washington

Wyoming

Fuel Tax Rebate info

21 cents a gallon!! This could really add up since we burn 700-1000 gallons a season. However, they make it such a PITA, I don’t even bother. There are tons of rules including: gas station attendant must print on receipt that the fuel is going into a boat (mine usually goes into cans to bring to the lake!!). The receipt must also show the purchasers full name, and boat registration number….and a bunch of other things. It’s a nightmare trying to get some grubby gas station attendant to punch all that info into his computer so it comes out on the receipt.

A few years ago I tried to get a rebate (several times) but it kept getting rejected by the state office. Something was always wrong with the paper work. I just gave up…

A special thanks to the state of MA for instating this great rebate plan. And thanks for making it absolutely impossible to take advantage of!

Anyone else have any luck with it?

[2 ThumbsUp]

$.17/gallon here in the Show-Me state for gas purchased for off-highway use.

While they require copies of receipts, no problems here with placing gas into cans and then into the boat. No registration numbers required on receipts etc.

Easy process and usually receive my check within a few weeks of filing.

Edited December 15, 2006 by 2 ThumbsUp

[stusumm]

We do this every year and usually get around $100.00 back.

Check out this thread from last year http://www.themalibucrew.com/forums/index....amp;#entry94520

[atropine]

We do this every year and usually get around $100.00 back.

Check out this thread from last year http://www.themalibucrew.com/forums/index....amp;#entry94520

I tried it last year when I lived in Texas. I called the state office in Austin and they told me to simply save my recepts each time I filled up, and didn't mention anything about special info needing to be printed on the receipts. I saved all my receipts for the entire year and when I called the state office in Austin, they told me to just send in the completed form without the receipts. I said "are you sure?" They said "yes, we will notify you at a later time if we need the receipts." A LONG time later I received a letter stating that they needed the receipts. So I sent them in, then A LONG time later received another notice that they didn't contain all the necessary info; i.e., proof from the gas station that the fuel went into a boat, etc. By then it was too late and there was no way to go back and get the info on the receipts. Thanks for nothing Texas.

[LS-One]

Good golly, i can't imagine anything like that ever getting traction in California.

Think again. You betta have good paper work to back it up though. Ever heard of Red Diesel ? Its dyed red and can be purchsed for AG use with no taxes at the pump at certain stations.

Edited December 15, 2006 by LS-One

[jphillips]

Never heard of off road tax reduction in Canada. As a matter of fact we pay about 25% more to buy the gas on the water. If someone knows something in Canada about gas price reduction for my boat that would be awesome.

[GoldschlagerVT]

Never heard of off road tax reduction in Canada. As a matter of fact we pay about 25% more to buy the gas on the water. If someone knows something in Canada about gas price reduction for my boat that would be awesome.

I pay a bit more to buy the gas on the water as well, but taking the taxes off the gas by sending in the receipts makes it about even to what you would buy on the road.

[Malibudude]

Good golly, i can't imagine anything like that ever getting traction in California.

Think again. You betta have good paper work to back it up though. Ever heard of Red Diesel ? Its dyed red and can be purchsed for AG use with no taxes at the pump at certain stations.

Nothing for gas though....

[GoldschlagerVT]

Think again. You betta have good paper work to back it up though. Ever heard of Red Diesel ? Its dyed red and can be purchsed for AG use with no taxes at the pump at certain stations.

It doesn't require much to submit this. You almost always have to pay by credit card to get this, otherwise the store will have to write up a special receipt. You need two receipts (or one if you stop at a modern gas station like on the road, but my marina has older pumps and the credit card machine is not part of the gas pump). So you need the receipt that shows the price per gallon and the number of gallons, and then the credit card receipt that shows your name and the total price paid for the gasoline.

Then on the form you just have to write down the information on the watercraft you are buying it for, and submit this. It's really not that hard. And at 25 cents or whatever on a gallon of gas, you can get a few hundred back at the end of the season.

[Gordo]

While we are on the subject of taxes....

I just heard that you can get a refund of your "Fuel Taxes" for "off-highway" use of fuel here in TX.

Link to the form here: http://www.window.state.tx.us/taxinfo/taxforms/06-106.pdf

Not sure if other states do this. I have heard in Canada you can actually buy "blue fuel" (or something like that) that is the same, just designated for off road use only.

Anyway, if you've saved your gas receipts you might be able to get a few hundred bucks back here in TX.

Smedman - I ran across this about 2 years ago. Since I am with Deloitte & Touche, and we have some very specialized tax gurus downstairs. I tracked down a Texas "Fuels Use" specialist. He was very famaliar with the Texas statute. He told me that the Texas fuel tax (.20/gallon) exemption for boats was avialable only for offshore - any inland waterway use was not exempt. Seems they changed the law about 5 years ago as a lot of fresh water boaters were applying for the refund. The form does not make that distinction, but he said that they will deny it out of hand. This advice just applies to Texas.

[smedman]

While we are on the subject of taxes....

I just heard that you can get a refund of your "Fuel Taxes" for "off-highway" use of fuel here in TX.

Link to the form here: http://www.window.state.tx.us/taxinfo/taxforms/06-106.pdf

Not sure if other states do this. I have heard in Canada you can actually buy "blue fuel" (or something like that) that is the same, just designated for off road use only.

Anyway, if you've saved your gas receipts you might be able to get a few hundred bucks back here in TX.

Smedman - I ran across this about 2 years ago. Since I am with Deloitte & Touche, and we have some very specialized tax gurus downstairs. I tracked down a Texas "Fuels Use" specialist. He was very famaliar with the Texas statute. He told me that the Texas fuel tax (.20/gallon) exemption for boats was avialable only for offshore - any inland waterway use was not exempt. Seems they changed the law about 5 years ago as a lot of fresh water boaters were applying for the refund. The form does not make that distinction, but he said that they will deny it out of hand. This advice just applies to Texas.

That is good to know -- I've heard it can be a bit tricky to get it, but seems like a bunch of folks here in Austin have got refunds recently. Maybe some of the folks processing it here haven't heard about the law change. At any rate - that stinks that the law has changed!

Stu - did you get a refund last year?

[Gordo]

While we are on the subject of taxes....

I just heard that you can get a refund of your "Fuel Taxes" for "off-highway" use of fuel here in TX.

Link to the form here: http://www.window.state.tx.us/taxinfo/taxforms/06-106.pdf

Not sure if other states do this. I have heard in Canada you can actually buy "blue fuel" (or something like that) that is the same, just designated for off road use only.

Anyway, if you've saved your gas receipts you might be able to get a few hundred bucks back here in TX.

Smedman - I ran across this about 2 years ago. Since I am with Deloitte & Touche, and we have some very specialized tax gurus downstairs. I tracked down a Texas "Fuels Use" specialist. He was very famaliar with the Texas statute. He told me that the Texas fuel tax (.20/gallon) exemption for boats was avialable only for offshore - any inland waterway use was not exempt. Seems they changed the law about 5 years ago as a lot of fresh water boaters were applying for the refund. The form does not make that distinction, but he said that they will deny it out of hand. This advice just applies to Texas.

That is good to know -- I've heard it can be a bit tricky to get it, but seems like a bunch of folks here in Austin have got refunds recently. Maybe some of the folks processing it here haven't heard about the law change. At any rate - that stinks that the law has changed!

Stu - did you get a refund last year?

As a follow up - After I saw the posts about getting a refund (here in Texas), I just put in a call to our fuel use tax dude. He told me that the law was, indeed, changed, and if anyone was actually getting a refund for use on an inland waterway, then that was a mistake by the agency in Austin. He also said that they generally audit new "accounts" in the first year and if they do find you are not offshore "use", you will have to refund the amount paid, plus interest, and they could also hit you with a penalty.

[Gordo]

Man, am I wasting time on this today As a follow up to my follow up, I decided to pull down the actual statute (for Texas) and find the exemption section - here it is:

§ 162.125. REFUND OR CREDIT FOR CERTAIN TAXES PAID. (a) A

license holder may take a credit on a return for the period in which

the sale occurred if the license holder paid tax on the purchase of

gasoline and subsequently resells the gasoline without collecting

the tax to:

(1) the United States government for its exclusive

use, provided that a credit is not allowed for gasoline used by a

person operating under contract with the United States;

(2) a public school district in this state for the

district's exclusive use;

(3) an exporter licensed under this subchapter if the

seller is a licensed supplier or distributor and the exporter

subsequently exports the gasoline to another state;

(4) a licensed aviation fuel dealer if the seller is a

licensed distributor; or

(5) a commercial transportation company that provides

public school transportation services to a school district under

Section 34.008, Education Code, and that uses the gasoline

exclusively to provide those services.

(B) For truck or railcar movements between licensed

suppliers or licensed permissive suppliers in which the gasoline

removed from the first terminal comes to rest in the second terminal

and tax was paid on the first removal, the license holder who

receives the gasoline in the second terminal may take the credit.

© A license holder may take a credit on a return for the

period in which the purchase occurred, and a person who does not

hold a license under this subchapter, other than a license as an

aviation fuel dealer, may file a refund claim with the comptroller

if the license holder or person paid tax on gasoline and the license

holder or person:

(1) is the United States government and the gasoline

is for its exclusive use, provided that a credit or refund is not

allowed for gasoline used by a license holder or person operating

under a contract with the United States;

(2) is a public school district in this state and the

gasoline is for the district's exclusive use;

(3) is a commercial transportation company that

provides public school transportation services to a school district

under Section 34.008, Education Code, and the gasoline is used

exclusively to provide those services;

(4) uses the gasoline in off-highway equipment, in

stationary engines, or for other nonhighway purposes and not in a

motor vehicle operated or intended to be operated on the public

highways;

(5) uses the gasoline in a motor vehicle that is

operated exclusively off the public highways, except for incidental

travel on the public highways as determined by the comptroller,

provided that a credit or refund may not be allowed for the portion

used in the incidental highway travel; or

(6) is a licensed aviation fuel dealer who delivers

the gasoline into the fuel supply tanks of aircraft or aircraft

servicing equipment.

Interesting to note that no where does it every mention and exception for boats, onshore or offshore, just offroad use!! Just offroad use.

So, back to my tax dude (who is now getting irritated with me ): Tell him of my research, and he says, that the exemption for offshore boats (and it was diesel fuel, he said) was in a private letter ruling to one of our clients. Seems we got hired by an offshore workboat company that used a lot of diesel for running their supply vessels out to the rigs/platforms in the Gulf of Mexico, and we helped them get a refund for all that tax they paid - but it was for offshore boats. He also said I had misquoted him about the law changing for onshore - the change was just for offshore and it was in a private letter ruling by the Comptroller. He reiterated that there was no refund avalible for my Bu unless I wanted to run it offshore and he didn't care if anyone was getting refunds - "its not in the law or private letter rulings".

Gotta get back to work - - -

[stusumm]

at this time I am going to take the 5th.

But yes I did get a refund last year and the year before. But I might be talking about something else if anyone from the state comptrollers office is lurking around here.

[2 ThumbsUp]

at this time I am going to take the 5th.

But yes I did get a refund last year and the year before. But I might be talking about something else if anyone from the state comptrollers office is lurking around here.

So, I have this friend and he....

[smedman]

Man, am I wasting time on this today As a follow up to my follow up, I decided to pull down the actual statute (for Texas) and find the exemption section - here it is:

(4) uses the gasoline in off-highway equipment, in

stationary engines, or for other nonhighway purposes and not in a

motor vehicle operated or intended to be operated on the public

highways;

Interesting to note that no where does it every mention and exception for boats, onshore or offshore, just offroad use!! Just offroad use.

So, back to my tax dude (who is now getting irritated with me ): Tell him of my research, and he says, that the exemption for offshore boats (and it was diesel fuel, he said) was in a private letter ruling to one of our clients. Seems we got hired by an offshore workboat company that used a lot of diesel for running their supply vessels out to the rigs/platforms in the Gulf of Mexico, and we helped them get a refund for all that tax they paid - but it was for offshore boats. He also said I had misquoted him about the law changing for onshore - the change was just for offshore and it was in a private letter ruling by the Comptroller. He reiterated that there was no refund avalible for my Bu unless I wanted to run it offshore and he didn't care if anyone was getting refunds - "its not in the law or private letter rulings".

Gotta get back to work - - -

hmmm, well seems like the language is just too ambigious. there is nothing about "offshore" use in number 4 above --- anyway, try not to upset this guy too much more -- we don't want him making a call to the agency in Austin and spoiling everyone's fun!

[jpk]

I just faxed in my application for WA state fuel tax refund account. Hopefully WA state isn't as draconian TX. I was diligent and saved all of my reciepts for gas this year.