Fuel licenses: Motor vehicle fuel or special fuel
Things to know
The Taxpayer Access Point (TAP) online system is now available. It's an easier and faster way to manage your fuel tax accounts. Register your account through TAP.
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.
Current license | Future license | Bonding requirements |
---|---|---|
Motor Fuel Supplier Special Fuel Supplier |
Supplier | $5,000 - $100,000 |
Motor Fuel Importer Special Fuel Importer Motor Fuel Exporter Special Fuel Exporter Motor Fuel Distributor Special Fuel Distributor |
Distributor | $5,000 - $100,000 |
Aviation Distributor Jet Distributor |
Aircraft Distributor | $5,000 to $100,000 |
Motor Fuel Blender Special Fuel Blender |
Blender | $5,000 - $100,000 |
(Not previously required) | Terminal Operators | $0 |
(Not previously required) | Fuel Carriers | $0 |
Motor Fuel Handling Loss Allowance has been repealed
The motor fuel handling loss allowance was repealed effective July 15, 2015.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:
- 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.
- 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
- 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.
- 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:
- 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
- With payment enclosed:
Fuel tax rates
Date | State rate/gallon | Federal rate/gallon | Combine rate/gallon |
---|---|---|---|
July 1, 2016-Present | $0.494 | $0.184 | $0.678 |
Aug 1, 2015 - June 30, 2016 | $0.445 | $0.184 | $0.629 |
Jan 1, 2011 - Jul 31, 2015 | $0.375 | $0.184 | $0.559 |
Date | State rate/gallon | Federal rate/gallon | Combine rate/gallon |
---|---|---|---|
July 1, 2016-Present | $0.494 | $0.244 | $0.738 |
Aug 1, 2015 - June 30, 2016 | $0.445 | $0.244 | $0.689 |
Jan 1, 2011 - Jul 31, 2015 | $0.375 | $0.244 | $0.619 |
Reporting period | Report due | EFT payment due* |
---|
*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
Reports and data
Related information
Questions? Need help?
- Email us: FuelTax@dol.wa.gov
- Call us: 360.664.1852