As mentioned in another thread... I'm seriously considering putting together a biodiesel processor for personal use. One subject that I can't find any information on (so far) is fuel taxes. As we all know, you can get in a heap of trouble for running off road diesel on the road for several reasons... one of which is that off road diesel doesn't have road taxes built into the price. Well, if you make your own fuel (biodiesel) and run it, can you get in trouble for this same sort of "tax evasion" for lack of a better term? Or do you claim is somewhere else and pay taxes on it? Anyone have any sources of info on this?

 

All actually depends.

The only place where you get in big trouble is if you go over b80 i believe then you need to start checkin with your local state.

Also. if you brew under 400 gal/month. then all your required to pay is state tax.

We actually had a guy here in iowa that was in the paper formakin his own and the state called him and was like you owe us taxes. He was happy to pay. but it took kthe state a year to figure out how to get it.

But anyway. Thats pretty much the jist of it. Just contact your local county and they should head you in the right way

 

Some folks avoid paying taxes by calling what they produce a 'fuel additive' rather than a 'neat fuel'. Neat fuels are replacement fuels which are justifiably taxable. To some degree it may depend on what you choose to call it, or the percentage you use. Some states have specific biodiesel laws in place. Go to www.biodiesel.org and do some digging.

 

Guess I'll have to start with my local government and get direction from there. The biodiesel.org website is pretty much worthless for my interests pertaining to this topic. It seems to be geared toward the biodiesel industry... in fact, with all my digging around on that website, I could not turn up one article on home/personal use production of biodiesel. Since the industry manufactures/suppliers would have to conform to fuel tax laws, I could find no information on the site about personal use taxation.

 

You could probably shoot someone on the biodiesel.org website an email... they might be able to point you in the right direction at least...


Tony

 

There are a ton of other biodiesel resources online besides biodiesel.org. Sorry the info wasn't there, just thought it would be a good place to start.

Register and post here, I'm sure someone can answer more definitively - a great place for homebrewers - http://biodiesel.infopop.cc/6/ubb.x?a=cfrm&s=447609751

Also biodieselnow.com is a good site.