Summer is here! And for the owners and managers of tourism or recreation-based businesses, the arrival of the summer marks the height of the income-producing season.
“Safe” Forms of Entertainment
During the pandemic and throughout 2020, these outdoor recreational businesses became instrumental as the public sought out safe forms of entertainment that tended to focus on being outdoors.
- Golf courses
- Parks
- ATV tour providers
- Campgrounds
In 2021, with the pandemic beginning to subside, these same businesses are as popular as ever. In addition, larger outdoor businesses, such as amusement parks or outdoor concert venues, are reopening their doors as folks are safely allowed to gather outdoors in large groups once again.
So considering the outdoor recreation and tourism industries are as busy as ever and are expected to grow in popularity as the summer heats up, it’s an ideal time to take stock of your finances. So let’s see if it’s a good idea to explore your options in the realm of fuel excise tax recovery.
Outdoor Recreation Industry
Several industries can greatly benefit from a fuel excise tax refund, such as:
- Construction companies
- Trucking companies
- Food and beverage providers
The outdoor recreation industry certainly ranks high on the list. Fuel excise tax recovery is designed for businesses that tend to use fuel slightly off the grid.
These businesses use vehicles and equipment that are not regularly on the highway, which certainly applies to outdoor recreation providers. And when it comes to how and when you use your fuel to keep your operations going, there may be a lot more options to secure a large refund than you might initially think.
Consider the following ways that you regularly use fuel for your outdoor business. All of these scenarios and situations can lead to a big refund! They are also an indication that it’s definitely worth exploring your options to enhance your revenue stream during the summer season and beyond.
Equipment That Gets You From Here to There
If your business specializes in outdoor recreation, and especially in remote or tourism-based locales, then chances are that you have off-road ways for your customers to get from here to there.
If you:
- Own or manage a golf course, and your patrons likely use golf carts to go from hole to hole.
- Are a tour provider, you may use ATVs or non-licensed 4WD vehicles to allow visitors to explore.
And if your business is based on the water, then you may operate:
- Tour boats
- Charter boats
- Vessels to provide outdoor entertainment
All of the above situations may easily qualify for a substantial fuel excise tax refund, and especially if you use these off-road vehicles regularly.
A good rule of thumb is to consider all the ways you provide transportation that does not require a roadway or a license plate, as this is your jumping-off point for obtaining a fuel excise tax refund.
Building and Maintenance Costs
Fuel isn’t just used for transportation or entertainment purposes. You likely use it in your business to keep your facilities up and running.
Perhaps during the pandemic, you worked on a new building project to provide more outdoor and socially distanced facilities. Or maybe you required fuel to power construction and maintenance equipment that kept your business operating daily.
Any fuel that you used for these types of building or maintenance projects may qualify for a refund. So, be sure and keep these building, construction, and other maintenance project costs in mind when you get started on securing your fuel excise tax refund.
Other Operations That Keep Your Business Going
At Tip, we often help clients find hidden and overlooked fuel expenses that they may not have considered, which certainly applies to your property and overall maintenance.
For example, if you operate a golf course, you are not just spending money on fuel for the golf carts that your customers use every day. You’re also spending money on fuel for mowing and maintaining the grounds, for landscaping, and maybe even for generators for facilities or amenities that are a hike away from the main clubhouse.
Many business owners, especially in the outdoor recreation industry, don’t consider just how much fuel they regularly use until they take a moment to take stock.
Think outside of your basic needs, such as off-road vehicles, and make an accounting for ALL fuel expenses – even the ones that are simply a part of doing day-to-day maintenance.
If you’re unsure if you qualify for a fuel excise tax refund, or are unsure if you have tallied up all your fuel expenses, don’t forget that Tip can help!
Contact Us
You don’t have to take time out of your busy summer season either to reap the benefits. With just a little preliminary information, Tip will:
- Perform all the heavy lifting, including preparing your fuel tax reporting forms
- Deliver timely fuel tax refunds
- Help you to avoid the costs of hiring or training internal staff to keep up with evolving and technical fuel tax regulations
We’re experts at helping businesses like yours obtain the largest refund possible. And, if you’ve never looked into fuel excise tax recovery before, your refund could be substantial.
What We Can Do for You
You can account for expenses incurred in the last three years on a federal level and from three months to three years on a state level, depending on the individual state.
Best of all, there is no cost involved until we have secured your refund. So, there’s no risk in reaching out and exploring your options.
If you own and operate an outdoor business that specializes in enjoying the great outdoors, contact the experts at Tip today! We’ll work on finding the best ways to put some well-deserved money back in your pocket. We help you focus on your business.