Sales tax on biodiesel???

Lightwave

Veteran Member
Joined
Jun 11, 2003
Location
Oklahoma City
TDI
Jetta GLS 2003 Reflex Silver, 2004 NB GLS Sunflower Yellow
I just had a 55-gallon drum of biodiesel delivered and the invoice had sales tax on it. The b-100 cost $184.80 and the sales tax came to 15.48. Should they charge sales tax on Biodiesel? It seems like $3.36/gallon should include road use tax. Oh well
 

rdkern

Top Post Dawg
Joined
May 21, 2004
Location
Humboldt Co CA
TDI
Passat 1997 silver (sold after 11 years), Jetta 2000 atlantic blue
In California it would, however it probably wouldn't be itemized. I don't even get a listing of what I'm paying for, just how much I've got to give. On the "regular" pumps, we have a figure showing what the federal and state taxes are, including sales tax. On the d2 pumps in your area, do you see amount broken out for various taxes? If so, you might just compare to see if their new accountant didn't realize what all was included in the taxes. Could be a problem or it could be their way of breaking out the figures. You might double check if it's worth your time.
 

Lug_Nut

TDIClub Enthusiast, Pre-Forum Veteran Member
Joined
Jun 20, 1998
Location
Sterling, Massachusetts. USA
TDI
idi: 1988 Bolens DGT1700H, the other oil burner: 1967 Saab Sonett II two stroke
Most states (hedging my comment here, I don't *KNOW* about all 50 of them) charge the prevailing state road fuel tax and federal road use tax and not a state sales tax. This is the case when the fuel is used in a vehicle used on the roads. These taxes are generally included in the price posted on the pump.
Those states with a state (or county) sales tax will charge that tax, but not the state and federal road fuel tax, for fuel used for other purposes.
Your fuel was delivered and not pumped into the vehicle. The fuel is subject to the state sales tax. The state sales tax payment can be used towards the state road fuel tax if that fuel is used in a vehicle used on the roads. You can apply for an abatement if the sales tax is higher than the state road fuel tax. You legally owe the state if the sales tax is less than the road fuel tax.
You are still legally liable to pay the federal government their federal road tax if that fuel is used in a road vehicle.
You can apply for road fuel tax relief for the gasoline you buy for your mower, dirt bike, string trimmer, stationary generator and other non-road use engines and vehicles.
 

Lug_Nut

TDIClub Enthusiast, Pre-Forum Veteran Member
Joined
Jun 20, 1998
Location
Sterling, Massachusetts. USA
TDI
idi: 1988 Bolens DGT1700H, the other oil burner: 1967 Saab Sonett II two stroke
Most states (hedging my comment here, I don't *KNOW* about all 50 of them) charge the prevailing state road fuel tax and federal road use tax and not a state sales tax. This is the case when the fuel is used in a vehicle used on the roads. These taxes are generally included in the price posted on the pump.
Those states with a state (or county) sales tax will charge that tax, but not the state and federal road fuel tax, for fuel used for other purposes.
Your fuel was delivered and not pumped into the vehicle. The fuel is subject to the state sales tax. The state sales tax payment can be used towards the state road fuel tax if that fuel is used in a vehicle used on the roads. You can apply for an abatement if the sales tax is higher than the state road fuel tax. You legally owe the state if the sales tax is less than the road fuel tax.
You are still legally liable to pay the federal government their federal road tax if that fuel is used in a road vehicle.
You can apply for road fuel tax relief for the gasoline you buy for your mower, dirt bike, string trimmer, stationary generator and other non-road use engines and vehicles.
 

Lightwave

Veteran Member
Joined
Jun 11, 2003
Location
Oklahoma City
TDI
Jetta GLS 2003 Reflex Silver, 2004 NB GLS Sunflower Yellow
I took a closer look at the drum, and it was labelled as "Soy Diesel Additive". So maybe it's like buying a bottle of Power Service Diesel Kleen (or something similar).
 
Top