The recently passed Senate FAA reauthorization bill eliminates the so-called fuel fraud tax that has been causing major annoyance and expense for U.S. FBOs, according to the National Air Transportation Association. The bill does increase fuel taxes to 36 cents from 22 cents per gallon. With the tax increase, the fuel fraud tax that was a result of the 2005 highway bill would no longer be applicable, freeing FBOs from the burden of registering as “ultimate registered vendors” with the Internal Revenue Service to obtain refunds for collecting the fraud tax. As of the middle of last month the bill was in a conference committee, awaiting reconciliation with the House version.
Senate bill: Bye-bye fuel fraud tax
- May 10, 2010, 5:53 AM