Fuel Tax Credit Available for Propane
By Diane Giordano, Partner, Tax & Business Services
Companies using forklifts or roll trucks powered by propane can now receive a fuel credit of 50 cents per gallon through December 31, 2011. The credit applies to fuel used during calendar year 2011.
In order to receive the credit, companies must register with the Internal Revenue Service as an “alternative fueler.” Steps required to apply for the credit include:
- File IRS Form 637 to register. When applying, Companies should be identified as an “Alternative Fueler.” Upon review and acceptance, the IRS will issue an acceptance letter and a registration number.
- File IRS Form 4136, with the Company’s business tax return filing. This is the form that will be used to determine the credit for 2011. Companies eligible for the credit will need to keep track of invoices and bills indicating propane use. This information will be reported on this form. Click here to read IRS Form 4136’s instructions.