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    #1

    Fuel Tax

    Is the fuel tax credit applicable to mobile construction equipment, such as graders, used exclusively off road?

    Pub 510 p 14 is pretty clear. but the instructions for form 4136 p2, Type of Use Table No.2, appears to have an exception where it says "(other than use in mobile machinery)".
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    #2
    Fuel tax credit

    This is available for off road equipment for undyed diesel fuel used in the machinery. The credit also applies to on road equipment that uses a secondary engine to power a supplemental engine not used to drive the vehicle. An example would be a power sweeping truck where a secondary engine powers the vacuum and brooms.

    In off-road vehicles they usually use dyed diesel fuel that does not have the tax for the road built into the price of the fuel.
    I would put a favorite quote in here, but it would get me banned from the board.

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      #3
      Reefer Units

      While not addressed in your question the reefer units on semi trailers also qualify. Your state may also have a credit. In NE the credit is available even for gas used in your lawn mower or power boat. While the federal tax credit is for off road use in a business.
      In other words, a democratic government is the only one in which those who vote for a tax can escape the obligation to pay it.
      Alexis de Tocqueville

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        #4
        thanks to both of you. I got the answer from the client. He He used diesel for for off road use and did not pay the tax,

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        This message board allows participants to freely exchange ideas and opinions on areas concerning taxes. The comments posted are the opinions of participants and not that of Tax Materials, Inc. We make no claim as to the accuracy of the information and will not be held liable for any damages caused by using such information. Tax Materials, Inc. reserves the right to delete or modify inappropriate postings.

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