[rmo1]

Stupid question.

It's illegal to use home heating oil or off-road diesel for "on-road" driving because of the road taxes.

So it's ok if you make BioDiesel and use that? Or is it that one has to pay road tax on what you make? Does the Government have their hand in that too??

/ubbthreads/images/graemlins/confused.gif

 

[h2odrx]

it all matters on where u live and what u make? i'm making soap and solvent that i use as a fuel additive so i am still paying road tax. /ubbthreads/images/graemlins/rolleyes.gif

 

[legends13]

I believe you can use up to 400 gallons a year before you are supposed to pay taxes on it. Might be 4000 don't remember for sure

 

[tpendergraft]

Federal Law:

http://www.irs.gov/publications/p510/ar02.html#d0e1774

Blended taxable fuel. This means any taxable fuel produced outside the bulk transfer/terminal system by mixing taxable fuel on which excise tax has been imposed and any other liquid on which excise tax has not been imposed. This does not include a mixture removed or sold during the calendar quarter if all such mixtures removed or sold by the blender contain less than 400 gallons of a liquid on which the tax has not been imposed.

 

[JOAT]

To be legal, even if you fall within the 400 gallon per quarter exemption, you are required to file:

IRS Form 637

This registers you with the IRS as a producer, blender, etc, and must be done before you can file any related road tax forms. Some states, such as California and Oregon, have similar registration and road tax rules.