SmokeyWren said: [ QUOTE ]
Last I heard it was a $10,000 federal fine, plus a lot more from the state and local governments.
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According to
IRS Publication 510, the initial penalty for using dyed fuel inappropriately is "...the greater of $1,000 or $10 per gallon of the dyed diesel fuel or dyed kerosene involved." The IRS document goes on to say, "After the first violation, the $1,000 portion of the penalty increases depending on the number of violations." and "This penalty is in addition to any tax imposed on the fuel."
Another IRS document says the penalty for additional violations "...is determined by multiplying $1,000 times the number of prior penalties...".
I found a Web page on the
Texas Comptroller's site that says the following. [ QUOTE ]
Using dyed diesel on the highway is a Class C misdemeanor with an up to $500 fine. The violation also carries civil penalties. Each gallon of the untaxed fuel is multiplied by the 20 cents of motor fuels tax that is due, and a civil penalty from $25 to $200 can be assessed.
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The penalty can rise to $10,000, but not the first time someone gets caught.
Bob