How Does the Fuel Tax Recovery Process Work?

what is fuel tax recovery?
August 25, 2021 0 Comments

One of the most overlooked opportunities for many businesses and industries is fuel excise tax refunds. If you have never heard of a Fuel Tax Recovery Process, you are certainly not alone!  

Taxes are inherently complicated! And if you own a business, your taxes can be even more confusing to cover.  As a result, many business owners leave hard-earned money on the table year after year.

Why, you ask? Simply because they did not take advantage of all of the available refunds. Even the best accountants in the country may not have intricate knowledge of the varying refunds available, such as the Fuel Tax Recovery Process. As a result, they can miss a couple of steps that could lead to big returns in the long run. 

This complex aspect of the tax world is highly specialized and is often subject to several changes. Fuel tax laws and regulatory changes can vary from year to year. And when it comes to recovering the largest refund possible, you need expert guidance every step of the way. 

So how do you take advantage of a fuel tax refund? Here’s how it works…

Step 1 – Examine Your Fuel-Related Costs

First, look at your business or organization’s types of fuel expenses. This can vary greatly, depending on your industry, and can include any or all of the following expenses: 

  • Refrigerated trucks, trailers, and other motor vehicles for transporting food or other refrigerated goods. 
  • Lawnmowers, weed whackers, and other landscaping equipment. 
  • Gas-powered golf carts and other smaller vehicles or equipment used for your business. 
  • Generators, construction equipment, and other heavy-duty expenses and gear, such as forklifts and front-end loaders. 
  • Boats, unique vehicles, and a wide array of other equipment that’s used in your day-to-day business. 

Simply put, if your organization uses fuel regularly outside the realm of a standard car or truck, then there’s a chance it’s time to see if you are eligible for a fuel excise tax refund. 

Remember, if you are not sure if you qualify, we are always standing by for a complimentary consultation. In addition, we will do a little digging to see what refund monies we can recover for you!

You can also take a look at our FAQ page. This page sheds light on businesses’ common questions when they are first starting to explore their eligibility for a fuel excise tax refund.  

Step 2 – Gather Your Documents

TIP will need a range of documents and a little information relating to your fuel expenses to get started!  Though each client’s needs and requirements certainly vary, generally, we will need:

  • A list of non-highway equipment
  • In-service dates for this equipment
  • Reefer hours
  • Fuel-relate invoices
  • The form number you used for your annual federal tax filings
  • The month of the year your tax year ends
  • Your federal I.D. number

This information gives us a great start when we examine how to get you the largest fuel excise tax refund possible!  Don’t have all of your receipts and fuel information available? Not a problem. 

We may be able to do a little research and recover your receipts for you, so you won’t miss out on any opportunities to get the largest return possible. 

Step 3 – Contact TIP! 

This is the last step because once you contact TIP, your heavy lifting is done.  

With the aforementioned information, we will use our extensive expertise and experience in this unique niche in the tax world to determine how much money we can acquire for your company and maximize your refund as a result 

You’ll have personal service every step of the way. And as our past clients have attested, you may be surprised by what we can save your organization!

From local or municipal governments to businesses that work in the shipping, food, or outdoor recreation industries, our expertise can span multiple kinds of business to ensure we get you the most money in your pocket. 

Additional Things to Keep in Mind

A few other things to keep in mind when you work with the professional team at TIP

There Are Never Any Upfront Costs for Our Services

Our fees are based on a percentage of the refund we can acquire for you, and you will not have to pay a dime until you receive your fuel excise tax refund check.  

We’ll Do the Work

Once you provide us with your tax information and associated filings, we’ll utilize that data to prepare all reports and filings for the IRS.  

We Are Always Available for Questions

One of the reasons why TIP stands out is because of our dedicated customer service. Our focus is on working with you to provide the most money possible with little effort on your end, and we are always on top of any tax law and regulation changes that may impact your business.  

You May Be Due Money From Previous Tax Years

Our fuel tax recovery experts have worked with multiple clients to help them look into the past and uncover refunds from previous filings. Remember that the first federal filing can go back up to three years from the date you currently file, so you may have literal years of refunds that you are due. 

Even if You Filed for Fuel Taxes Before, You May Still Be Due Extra Refund Money

Because this niche of tax law can be complex, it’s easy to miss possible areas where a fuel-related refund may be available. Therefore, we work diligently to examine all of your fuel expenses and identify extra refund monies that may have been missed. 

There Are Tools Online to Get Started

Check out our Fuel Tax Estimator for a little extra insight into what you may be able to recover! 

We Can Help!

We’re standing by to get started on securing your largest fuel tax refund possible. Contact our expert team today, and let’s work together to ensure that you benefit from the biggest refund possible. 

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How Does the Fuel Tax Recovery Process Work?
So, what can you expect when you work with Tip? Let's take an in-depth look at the Fuel Tax Recovery Process and what you need to know.