Fuel Tax FAQ24
Q: When are the tax returns due?
A: Returns must be postmarked on or before the last day of the month following the month that the transactions occurred.
Q: Does a person who exports fuel for sale in another state have to be licensed in Wyoming?
A: Yes, every exporter of gasoline and/or diesel fuel shall annually obtain a license from the department to conduct business in the state.
Q: As a fuel transporter, should our company file a common carrier report?
A: Yes, if your company imports or exports fuel to or from Wyoming, a common carrier report must be filed.
Q: Is it possible to remit payment by electronic funds transfer?
A: Yes, please contact the fuel tax office.
Q: As a supplier or distributor, what is the statute in regards to filing an amendment for a refund?
A: See W.S. 39-17-110(a).
Q: When is ethanol or biodiesel taxable?
A: When it is blended with a petroleum product or sold to an end-user.
Q: What types of fuel for purchase or sale in Wyoming are taxed?
A: All fuel that is used in motor vehicles-including race cars, as well as all gallons of ethanol or other blending components purchased and blended for motor vehicle fuel.
Q: What is the fuel taxation rate for the state of Wyoming?
A: Gasoline, gasohol, and undyed diesel : $.23 license tax and $.01 additional license tax (ALT) per gallon; aviation gasoline and jet fuel $.04 license tax and $.01 additional license tax (ALT) per gallon; dyed diesel $.01 additional license tax (ALT) per gallon.
Q: Where is the fuel tax imposed in Wyoming?
A: Fuel tax is collected at Wyoming terminals by suppliers whom collect taxes for Wyoming destined fuel and remit taxes to FTA.
Q: What is a fuel distributor?
A: A distributor is any person other than a dealer who receives gasoline or blends fuel for distribution or resale in this state.
Q: What is a fuel dealer?
A: A Dealer is a person who sells or offers to sell motor fuel at a specific location in the state of Wyoming.
Q: What is a supplier and how is a supplier different for a dealer and distributor.
A: A supplier is registered with the Federal Government for transactions in motor fuels in the bulk transfer/terminal distribution system and a position holder at the terminal in this state. A supplier can also produce fuel and alternative fuels. Suppliers are different from distributors and dealers as they supply most of the fuel to distributors and dealers. Distributors distribute the fuel and dealers sell the fuel at a specific location.
Q: How is fuel tax distributed?
A: Gasoline – 15% Cities, 13.5% Counties, 14% County Construction Road Fund, 57.5% Highway Fund.
Diesel – 5% Cities, 20.0% Counties, 75% Highway fund
Q: Define bulk gasoline or diesel.
A: Bulk gasoline or diesel means thirty five gallons or more purchased and delivered at one time.
Q: What percent of shrinkage credit can a distributor or importer claim?
A: A credit of one percent on gross gallons of bulk gasoline, gasohol, aviation gasoline, jet fuel, undyed diesel or dyed diesel purchased directly from a terminal and delivered in this state for use sale or distribution.
Q: Can a licensed distributor elect to make delayed tax payments to a supplier, refiner or importer?
A: Yes. Payment is not required from the licensed distributor until three business days prior to the date which the taxes are required to b remitted to the state.
Q: Does FTA have any penalties for late filers?
A: If the distributor or supplier remits taxes late, there is 10% penalty and 1% interest per month due. In addition, a bond may be imposed.
Dealers who report gallons only do not have any penalties for filing late returns.
Q: Does FTA require bonds?
A: Yes. All licensees who import fuel into Wyoming or distribute fuel in Wyoming shall file with the department a surety bond of $50,000 per fuel type (gasoline fuel family and diesel fuel family). We may also require a bond equivalent to the licensee’s tax liability for (6) months at our discretion. In lieu of a surety bond, the department may accept a cash bond or a certificate of deposit.
Q: When does ethanol become taxable?
A: According to W.S. 39-17-107(a)(i)(E) Any person acquiring ethanol or other blending components to blend with gasoline shall report to the department all gallons of ethanol or other blending components purchased and blended during the preceding calendar month and remit all additional taxes due on the ethanol or blending components.
Q: What is the statute of limitations for maintaining fuel tax records?
A: Each refiner or distributor and each purchaser must maintain their records for three years. Refunds are invalid if they are not submitted to the department within one year following the date of purchase.
Q: Who has to be licensed in Wyoming.
A: Any entity purchasing, distributing, importing, exporting, or selling fuel in or from Wyoming must be licensed.
Q: What is the fee for a license?
A: The fee is $25.00 per fuel family (Gasoline, gasohol, aviation gas, etc.) (Undyed and dyed diesel, jet fuel, kerosene, biodiesel, etc.) (Ethanol and blending components).
Q: Is compressed natural gas (CNG) or propane fuel tax liable?
A: CNG is taxed at $.24 per gasoline gallon equivalent (GGE) when it is used to propel a motor vehicle.
Q: Is liquefied natural gas (LNG) fuel tax liable?
A: LNG is taxed at $.24 per diesel gallon equivalent (DGE) when it is used to propel a motor vehicle.
Q: How is LPG measured?
A: LPG is taxed at $.24 per 1.35 gasoline gallon equivalent when it is used to propel a motor vehicle.
Q: How is CNG measured?
A: CNG is measured by the gasoline gallon equivalent of 5.66 lbs.
Q: How do other states measure CNG?
A: Several states measure CNG by Gasoline Gallon Equivalent (5.66lbs of CNG equals one gallon of gasoline).
Q: How many more years for the ethanol credit?
A: The ethanol credit sunsets in July 2015; however, ethanol producers can request an ethanol credit up to one year after a credit memo is issued.
Q: Are the fuel taxes collected only used for highways?
A: No, a portion is distributed monthly to the cities, counties and towns, and yearly to State Parks for motorboats, off-road recreation vehicles, snowmobiles, and UW Tech Center.
Q: If fuel is spilled, who pays for it?
A: If fuel is spilled, typically the carrier’s insurance pays for the fuel.
Q: What are end-user refunds?
A: End-user refunds are refunds given to schools for gasoline and undyed diesel for fuel use over the highway and agricultural users for use in agriculture. Additional end-users can also claim a refund of the $.23 portion of fuel taxes if undyed diesel is used in an off-road manner.
Q: Who is eligible for end-user refunds?
A: Schools, Political Subdivisions, Agriculture, Logging Operations, Mining Operations, Manufacturing , Processing, Drilling, Exploration or Well Servicing, Highway or other Construction or Railroad Operations or other non-highway operations or uses.
Q: How is aviation fuel tax distributed?
A: The $.04 portion of aviation fuel tax is distributed back to the airports for use in maintenance of the airports.
Q: What is a mega station?
A: Mega stations are designed to serve as one-stop retail outlets adequately equipped to offer motorists a wide range of quality services and convenience. The stations provide customers a wide range of product and service offerings. For fuel, customers will have high speed fuel dispensing pumps.
Q: When does Fuel Tax Administration (FTA) utilize Federal Laws in Wyoming?
A: When fuel licensees become fuel blenders, we require them to be registered with the Federal Government as a blender.
Q: How does State of Wyoming tax electric vehicles?
A: Electric Vehicles are currently exempt fuel tax.
Q: How does fuel tax handle individuals processing their own alternative fuels?
A: When individuals contact FTA and wish to remit fuel taxes on alternative fuels they have produced, they are registered with FTA and remit taxes quarterly on “good faith”.
Q: What is the Federation of Taxpayers Association?
A: It is a partnership of State and Provincial fuel tax administrators, members of the motor fuel industry, representatives of the IRS, FHWA and other federal agencies and representatives of the Canadian Fuel Tax Council.
Q: There are several railcars of fuel imported into Wyoming. How are they reported/taxed?
A: Railcars are considered bulk storage; therefore, taxes are due upon import.
Q: Are Native Americans exempt from paying fuel taxes?
A: Native Americans are not exempt fuel taxes; however, they have Memorandum of Understanding with the State of Wyoming to receive a refund of taxes.
Q: Can government entities license to sell fuel/alternative fuel to the public?
A: We currently do not license government entities that disperse fuel to other public entities.
Q: How does FTA enforce dyed diesel usage?
A: We do have statutory authority to enforce dyed diesel usage.
Q: What agency enforces fuel products ie: blended fuels, etc.?
A: The Department of Agricultural enforces fuel product dispensing and labeling.
Q: How does FTA collect taxes if fuel is imported or exported?
A: The fuel importer remits taxes to FTA. We do not collect taxes on exported fuel unless the entity is not licensed in Wyoming to export fuel.
Q: Does FTA have a MOU with other states in order to share information?
A: We do have an MOU with surrounding states in order to share information.
Q: How does FTA relay information to customers?
A: FTA relays information in many ways. We have a quarterly newsletter that discusses industry information, FTA technical information and strategic information, memos and by continuously daily education.
Q: Is electronic filing applicable in fuel tax?
A: Yes. Most of our customers submit returns in an electronic format; however, filers with less than 250 lines are data entered by a data entry clerk.
Q: Are carriers required to report their transactions to fuel Tax?
A: Interstate carriers are required to report their Wyoming transactions.
Q: How does FTA currently bill for miss-reported taxes?
A: Regardless of the amount of taxes to be collected, FTA sends a billing notice for additional taxes due or a refund of taxes overpaid.
Q: How have the new pipeline and the oil boom impacted fuel taxes?
A: At this time, there has been little impact to fuel taxes.
Q: What is a blender pump?
A: A blender pump draws two fuels from separate storage tanks and mixes them together in various percentages to form a variety of fuel choices for the station’s customers. Any combination of fuels is possible, and most blending systems allow changes in the percentages for the seasonal blends of E85.
Q: How does FTA enforce licensing to import or export fuel?
A: If a company is not licensed to import or export fuel, FTA bills the supplier /distributor that sold the unlicensed importer/exporter taxes.
Q: How does FTA audit fuel tax returns?
A: FTA thoroughly audits fuel tax returns by cross matching all transactions between companies as well exported fuel to Wyoming information provided by other states.
Q: How many distributors and suppliers are licensed?
A: Currently there are 243 distributor and suppliers licensed.
Q: How many dealers are licensed?
A: There are currently 274 dealers licensed in Wyoming.
Q: How many external audits are performed per year?
A: Typically the Department of Audit performs approximately 4 to 6 fuel tax audits per year.