- Gasoline and aviation gasoline
- Un-dyed diesel fuel and Un-dyed kerosene
- Diesel-water fuel emulsion
Some of the requirements that you must meet for the types of fuel listed are:
Gasoline
- You must be the ultimate purchaser
- The fuel must be used on a farm or for farming purposes
- Used for off-highway business
- Used as an export
- Used in a boat engaged in commercial fishing
- Used in a school bus
Aviation Gasoline
- Also you must be the ultimate purchaser
- The fuel must be used on a farm or for farming purposes
- Used as an export
- Used in foreign trade
- Used in certain helicopter and fixed-wing air ambulance
- Used in commercial aviation
Un-dyed Diesel Fuel and Un-dyed Kerosene and Diesel-water Fuel Emulsion
The following are nontaxable uses of diesel fuel and kerosene:
- Must be used on a farm for farming purposes
- In a qualified local bus
- In a school bus
- Used as an export
How do I file this credit?
You claim the credit on the “Credits from” line of Form 1040. Also check box b on that line. If you would not otherwise have to file an income tax return, you must do so to get a fuel tax credit.
Alternative Fuel Tax Credit
Visit TurboTax Online today to claim your alternative fuel tax credit.