You get to use no road taxed diesel and also claim fuel cost as farm expense?
I am qualified to use off road fuel and get the state tax deleted from any diesel I use off road.
Any fuel expenses related to agriculture use are sent to my accountant for whatever he does with that amount on annual returns, yes.
BUT.... I don't use off road diesel in anything. My transfer diesel tank is on the back of my pickup, and that's where I fuel my equipment from. But not only my equipment, but my pickup itself. I've had long trips, and other times where I simply fill my pickup up from the transfer tank. If I ran red diesel in my transfer tank I couldn't do that.
Well, I COULD do it, but that red dye stays in your pickup tank for a LONG time, and if caught, the state will fine you like $5k per occurrence. And they are the ones who calculate how many times you've done that...
You'd rather get caught robbing the bank than having red diesel in a vehicle you drive on the road.
