I am surprised management has not made that a policy. Could be they are keeping records separate and then claiming the road use tax separate expense deduction, there is a form for it. Tax laws being as convoluted as they are, it takes a CPA to stay up with them from year to year.

 

That's the intended purpose of off-road diesel, use in diesel powered machinery not used on the pavement. I'm sure there's a more techincal/lawyer based phrase to explain it. But in laymen's terms if the machine moves dirt, mowes grass, runs a stationary generator/air compressor or anything else that doesn't use the county/state/federal road system....then it can & should burned dyed fuel. The tax is accessed to equipment that uses and causes wear to the roadway.

And for the record, a 6.0L will burn dyed fuel...the latest EPA/clean air act requires the off-highway diesel suffer level to be at 15 ppm (ULSD) phase in by 2014 for all refiners. The same requirement as on-highway diesel that went into place 1/01/08. The only thing I'd keep an eye on is water content in the fuel due to an old tank often used for off-road diesel. The HFCM/primary filter will catch most of it...but there's a point where you over-run it's ability to catch it all.

 

yes, you are correct here is the link to what you are referring to IRS Extends Diesel Fuel Penalty Relief Due to Hurricane Katrina .................................................. ......................The penalty is the greater of $1,000 or $10 per gallon of the dyed diesel fuel or dyed kerosene involved. After the first violation, the $1,000 portion of the penalty increases depending on the number of violations. This penalty is in addition to any tax imposed on the fuel. If the penalty is imposed, each officer, employee, or agent of a business entity who willfully participated in any act giving rise to the penalty is jointly and severally liable with that entity for the penalty.

 

here is another post that confirms Diesel one off-road? - Page 3 - Truckers Trucking Forum | Largest CDL Truck Driver Message Board

 

Here in N. Al off road is bout .64 cheaper. You don't sign anything or do anything special to buy it. Clerks could careless. I buy a lot of it. I run it in my tractor, generator, woodchipper. The fine here is $10k if caught. Dot is known to setup near sale barns and a couple highways and check non dot trucks. The only time I've been checked is when fuel was $5 in 07. It was funny to I was on E the lie o meter said 3 miles to mt. I was going to the truck stop 100 yrds from where they where setup. Man they couldn't get anything. I kept telling them I was on E. Then finally after 20 minutes I told if they would let me I would get some out of the separator for em. They just told me to go on.
I want the irs man know I buy red fuel. I save the receits for a reason. You can drive a tractor on any road pervided it has a slow moveing sign on it and it can do the minium speed limit if there is one. Doesn't matter what color fuel.
Checking filters won't do anything. Its not illegal to run the fuel in your truck. Its illegal to run it on a fed./state road. A lot of farmers run red fuel in their trucks on the farm. As they have red fuel delevered to the farm. They run green will on the road. Useing marvil or atf won't work. They have a little tube like you use to check coolant. It'll tell them if its an additive or dye. They also have a chemical called red out. If the fuel turns purple its dye.

 

I have heard of folks getting busted after accidents or from a fuel leak. One lawn guy here pulled into the dump leaking red fuel - $15K fine.

At 30 cent per gallon savings (average here), if you get a $10K fine, it would take 33K gallons to break even. 33K gallons at 15mpg is 500K mi. This is one of those times where the gov't is clearing saying: Don't even think about it.

 

with all the new IRS agents and all the money the govt spent ,they need to get it back some how, i'm sure they are using every resource avail to fine people.
"How To Buy Diesel Fuel and Kerosene Tax Free
You buy dyed diesel fuel and dyed kerosene excise tax free. You must use them only for a nontaxable use, including use on a farm for farming purposes. If you use the dyed fuel for a taxable use, you could be subject to the excise tax and a penalty. For example, if a truck used on a farm for farming purposes is also used on the highways (even though in connection with operating the farm), tax applies to the diesel fuel used (or sold for use) in operating the truck on the highways. The fuel was used off the farm for a taxable use."
Fuel and Road Use Tax - Agriculture Tax Tips

 

Just chiming in but only place I've seen close to kansa city is in lawrence, ks and its all pay at pump set up. No place to prepay. And it bout .30 cheaper. But hell diesel round here went from $3.94-$3.99 to $3.83-$3.85. So I'm sticking wit regular

 

The state/fed tax on diesel fuel in KS is $.50/gal. Granted I live far from anywhere, but all the local co-ops have dyed fuel, and it just depends on location if they have a cardtrol for just the co-op system, it might take credit cards, or a lot you still have to go in to pay or charge to an account. The big towns don't have co-ops until you get to the outskirts where farms start cropping up and I haven't seen dyed fuel at just a regular old fuel station.