Fuel licenses: Motor vehicle fuel or special fuel

License types

Once you're licensed or registered, there's no renewal period.

Supplier License

Allows the purchase and storage of non-taxed fuel within the bulk transfer-terminal system. It also allows for import and export of fuel.

Distributor License

Allows the tax-free purchase of fuel from a licensed supplier for immediate export to a destination outside the state. The import of fuel into the state by rail car or tanker truck. It also allows a tax-deferred purchase of motor fuel or special fuel from a licensed supplier and the tax-exempt sale of fuel to qualifying entities.

Blender License

Allows the blending of taxed fuel with untaxed liquids to produce motor or special fuel, including alternative fuels (biodiesel, ethanol, etc.) and the production of alternative fuels outside the bulk transfer-terminal system. Taxes are imposed on the volume of product not previously taxed.

Aircraft Fuel Distributor License

Allows the purchase of non-taxed aircraft fuel for resale.

Fuel Carrier Registration

Requires the reporting of fuel movement within Washington State as well as imports and exports from the state.

Terminal License

Requires the reporting of fuel movement in IRS registered terminals within Washington State. Each terminal location needs its own license. You can apply for all locations using a single application.

Motor Fuel Handling Loss Allowance has been repealed

The motor fuel handling loss allowance was repealed effective July 15, 2015. Motor Fuel Suppliers, Blenders, and Importers are no longer able to take the motor fuel handling loss allowance or pass it along to your qualified customers.

When filing your monthly motor fuel tax return, you may include the motor fuel handling loss allowance for the period July 1 - 15, 2015. Distributions after 12:01 a.m. July 16, 2015 can't include the handling loss allowance.

Who needs a license?

Anyone who supplies, imports, exports, or blends motor or special fuel for sale.

How to get your license

You can apply:

• Online through TAP – PRFT Taxpayer Access Point
• or
• By submitting a completed Fuel Tax Application to:
  Department of Licensing
  Prorate and Fuel Tax
  PO Box 9228
  Olympia, WA 98507-9228

What you will need to apply:

1. A fuel tax bond for each license type of fuel, excludes Terminal Operators and Fuel Carriers. The total amount of the bond, per license, is 3 times the estimated monthly fuel tax liability and must be between $5,000 and $100,000.
2. If you're applying for a:
   • Fuel Supplier license - A copy of your Federal 637 License specific to tax-free fuel transactions and a copy of licenses issued by jurisdictions.
   • Fuel Distributor license - Copies of licenses by the jurisdiction where you're importing or exporting fuel.
   • Fuel Blender license - A copy of your Federal 637 license specific to the production and blending of fuel.
   • Fuel Terminal Operators - A copy of your Federal 637 excise tax registration authorizing tax-free transactions in the bulk transfer-terminal.
   • Fuel Carrier Registration - Complete and submit your Fuel Carrier Registration form.

How to file your tax return

1. Online through TAP – PRFT Taxpayer Access Point.
   • You can enter tax information into TAP
   • or
   • Upload an Excel template containing your tax information. Contact our office at 360.664.1852 for a copy of the Excel template.
2. XML Data Transfer - Transfer your tax information from your computer system into our system.
   • You must set up connections with our technical staff at FTXMLReporting@dol.wa.gov before sending your tax information.

   • Fuel Tax Return Upload templates

     You need to have Excel 97-2003 or newer to use these templates:

     • Fuel Supplier
     • Fuel Distributor
     • Fuel Blender
     • Aircraft Distributor
     • Terminal Operator
     • Fuel Carrier
3. By mail:
   • With payment enclosed:
     
     Prorate and Fuel Tax
     Department of Licensing
     PO Box 9048
     Olympia, WA 98507-9048
   • Without payment enclosed:
     
     Fuel Tax Section
     Department of Licensing
     PO Box 9228
     Olympia, WA 98507-9228
     

Fuel tax rates

*If they receive your payment after the:

• Due date, you'll incur a penalty.
• 1st of the following month, interest will  accrue.

Payment options

• If you owe $50,000 or more, pay only by EFT.
• If you owe less than $50,000, pay by check, money order, or EFT.

Contact your bank to complete EFTs. Submit a separate transmittal for each license type.

Related laws and rules

• RCW 82.38: Fuel tax Laws
• WAC 308-77: Fuel tax rules and regulations

Reports and data

• Active fuel tax licenses
• Canceled or revoked licenses

Related information

• Fuel Tax Compliance Guide

Questions? Need help?

• Email us: FuelTax@dol.wa.gov
• Call us: 360.664.1852