Diesel Fuel Tax - Farmers - Filing Claims for Refund

For further guidance regarding tax-paid diesel fuel used on a farm for farming purposes, see Regulation 1431, Diesel Fuel Used on a Farm for Farming Purposes. We cannot accept a claim for refund for farming use directly from a farmer who purchased tax-paid fuel for use on a farm.

  1. Does the exemption certificate have to be completed in full?
  2. What should I do to get a refund of taxes I paid on diesel fuel used on my farm if I failed to give my Ultimate Vendor an exemption certificate at the time of purchase?
  3. What are acceptable ways for farmers to calculate the percentage of diesel fuel they anticipate they will use in the coming year for purposes of completing the Certificate of Farming Use for their vendor?
  4. If I am a new farmer, what document do I have to submit to my vendor so I can buy undyed diesel fuel without the tax?
  5. How often do I have to file a Certificate of Farming Use with my vendor?
  6. I use diesel fuel for my on-road vehicles and farm equipment. What portion of my purchase is exempt?
  7. I am concerned about putting my social security number (SSN) on the Certificate of Farming Use. Is this a mandatory requirement?
  8. Are there any penalties if I use untaxed diesel fuel purchased under an exemption certificate for farming use knowing that I will use all or part of the fuel on the highway?

  1. Does the exemption certificate have to be completed in full?

    Yes. If you cannot obtain some of the information, Contact Us for guidance.

  2. What should I do to get a refund of taxes I paid on diesel fuel used on my farm if I failed to give my Ultimate Vendor an exemption certificate at the time of purchase?

    You should provide your Ultimate Vendor with an exemption certificate as soon as possible and ask your Ultimate Vendor to file a claim for refund for the taxes paid on this fuel. This claim must be filed within three years of the month following the month in which you purchased the fuel. The Ultimate Vendor will be required to provide supporting documentation for this claim, including the original invoices, the exemption certificate, and evidence to show it credited or refunded the tax to you.

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  3. What are acceptable ways for farmers to calculate the percentage of diesel fuel they anticipate they will use in the coming year for purposes of completing the Certificate of Farming Use for their vendor?

    Unless changes to your usage are expected in the coming year, you can use a calculation based on the previous year’s actual usage. You must maintain records supporting the calculation to provide to the Board of Equalization if requested.

  4. If I am a new farmer, what document do I have to submit to my vendor so I can buy undyed diesel fuel without the tax?

    You must complete, sign under penalty of perjury, and submit form BOE-608, Certificate of Farming Use, to your vendor in order to purchase undyed diesel fuel without the state excise tax.

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  5. How often do I have to file a Certificate of Farming Use with my vendor?

    You must file The Certificate of Farming Use annually and whenever the information changes.

  6. I use diesel fuel for my on-road vehicles and farm equipment. What portion of my purchase is exempt?

    Only the diesel fuel used on a farm for farming purposes is exempt. Diesel fuel used in your on-road vehicles on public highways is subject to tax. You must pay the tax when you purchase diesel fuel for on-road use.

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  7. I am concerned about putting my social security number (SSN) on the Certificate of Farming Use. Is this a mandatory requirement?

    No. We no longer request SSNs on the certificate.

  8. Are there any penalties if I use untaxed diesel fuel purchased under an exemption certificate for farming use knowing that I will use all or part of the fuel on the highway?

    Yes. A purchaser who gives an exemption certificate for diesel fuel that he or she knows at the time of purchase will not be used by him or her in an exempt manner is liable to the state for the amount of tax that would be due if he or she had not given the certificate. The purchaser is also subject to a penalty of 25 percent of the tax or $1,000, whichever is greater, for each certificate issued for personal gain or to evade payment of taxes.

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