You might not notice what color fuel you are putting into your engine, but both the IRS and EPA are paying close attention.

On Road Off Road
Undyed Fuel – Clear Dyed Fuel – Red
Subject to Excise Tax Exempt from Excise Tax

Somerset’s Tax Team can assist you with excise tax refund applications to apply for the excise tax paid on undyed fuel. If you’re using undyed fuel for off road use, your tax refund could be around 18 cents per gallon.

For additional information, contact your Somerset advisor or get in touch with us at .