New Rules for Diesel In the North East

Doc

Doc

Admin
Staff member
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Sounds like a good reason for them to raise the prices, again.
 
civesnedfield

civesnedfield

Member
Doc said:
Sounds like a good reason for them to raise the prices, again.
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You are all to right. Ther was an article in the local paper about just that. In Maine they also changed the law and made it mandatory for dedicated delivery trucks for the off road diesel. Most of the suppliers are refusing to do this, so that means that you can no longer get off road diesel. Long story short that means that you now have to pay the road use tax on your off road fuel. Now you can file to get the taxes back at the end of the year, but you are out that money for the entire year.

The article was about a guy that logs for fire wood. medium sized company. The owner claimed that the new rules would add up to about an extra $70.00 a week in fuel costs.

Needless to say he will be passing the extra costs onto the consumer.
 
D

dsgsr

New member
civesnedfield said:
Long story short that means that you now have to pay the road use tax on your off road fuel. .
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Thats why I have a Mobil 275 Gal. fuel tank and have it filled with #2 home heating oil, same thing as off road but no Tax. I don't have a business on paper and don't want to have too pay the tax and then request it back at the end of the yr. I know that some of you don't put on as many hrs. as I do so the big tank wouldn't benefit you,thats just the way I do it.

David
 
civesnedfield

civesnedfield

Member
dsgsr said:
Thats why I have a Mobil 275 Gal. fuel tank and have it filled with #2 home heating oil, same thing as off road but no Tax. I don't have a business on paper and don't want to have too pay the tax and then request it back at the end of the yr. I know that some of you don't put on as many hrs. as I do so the big tank wouldn't benefit you,thats just the way I do it.

David
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That's great if the person that's delivering the fuel is ok with it. According to the new rules if there is not an oil burner hooked to the tank they are not suppose to put home heating oil in the tank. The dealer can get into as much trouble for delivering it to you as you can for using it for any thing other that home heating oil.

I know everybody says heck I'm not worried about it, no one ever checks on this kinda stuff. You may just be able to do it and get away with it but look at the fines and penalties if you do get caught.

I've seen the DOT pulling over disel pickups and check the fuel tanks. This was recently, had never seen it before diesel prices went thru the roof.

I do believe that we will start seeing the Diesel DOT more and more frequently.
 
civesnedfield

civesnedfield

Member
dsgsr said:
Shoooooooooooosh:)


David
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Don't worry David your secret is safe with me. If I used enough fuel to warrant a tank I would be doing the same thing. Believe it or not my buddies fuel oil company actually suggested he move his tank closer to the garage or barn and plumb up a dummy fuel line. If he did that they would be happy to drop #2 fuel off. If not he would have to buy taxed diesel. :bash:
 
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Dougster

Old Member
civesnedfield said:
Don't worry David your secret is safe with me. If I used enough fuel to warrant a tank I would be doing the same thing. Believe it or not my buddies fuel oil company actually suggested he move his tank closer to the garage or barn and plumb up a dummy fuel line. If he did that they would be happy to drop #2 fuel off. If not he would have to buy taxed diesel. :bash:
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I take it that your friend does not own a tractor??? :confused:

Dougster
 
D

Dougster

Old Member
civesnedfield said:
Actually he owns 3 and goes thru about 250 to 300 gallons of fuel a month during the summer slightly less during the winter. :letitsnow:
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Now I'm confused Ed. Why wouldn't he just buy off-road diesel for his tractors? What would be the advantage of him buying No. 2 heating oil? Prices appear to be identical in my area with the exception that certain real low "cash-only" heating oil guys will save you a few cents.

I was going to be one of those "cash-only" heating oil guys at one point in my life. But my company... Fly-By-Night Heating Oil Services... never quite took off. I think maybe we chose the wrong name. :eek:

Dougster
 
civesnedfield

civesnedfield

Member
Dougster said:
Now I'm confused Ed. Why wouldn't he just buy off-road diesel for his tractors? What would be the advantage of him buying No. 2 heating oil? Prices appear to be identical in my area with the exception that certain real low "cash-only" heating oil guys will save you a few cents.

I was going to be one of those "cash-only" heating oil guys at one point in my life. But my company... Fly-By-Night Heating Oil Services... never quite took off. I think maybe we chose the wrong name. :eek:

Dougster
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Let me see if I can explain. Prior to 10/30/07 in the state of Maine you could buy #2 heating oil, Off Road Diesl, and On Road Diesel. #2 and Off road are essentially the same price. Add the $0.49 tax to either one of those and you now have the price of On road diesel.
Starting in November, Off road Diesel has to be low sulfur, in most states this is not a problem. The State of Maine has added to the Federal regulation stating that any dealer delivering Off Road Diesel must have seperate and dedicated trucks for this product. This in my opinion is just another way for the state to fleece the people. Most small dealers will not go out and invest in another fleet of trucks just to handle Off Road Diesel so we are stuck buying Road Diesel. We can file to get the road use tax back at the end of the year, but most are small users like me and will forget about it.

No think of it. If you have several thousand people in the state that use say 100 gallons a year, and the state has already collected the road use tax, that's $49.00 a person x the number of people that don't file to get it back.

It's just another way for the state to make money.
 
D

Dougster

Old Member
civesnedfield said:
Let me see if I can explain. Prior to 10/30/07 in the state of Maine you could buy #2 heating oil, Off Road Diesl, and On Road Diesel. #2 and Off road are essentially the same price. Add the $0.49 tax to either one of those and you now have the price of On road diesel.
Starting in November, Off road Diesel has to be low sulfur, in most states this is not a problem. The State of Maine has added to the Federal regulation stating that any dealer delivering Off Road Diesel must have seperate and dedicated trucks for this product. This in my opinion is just another way for the state to fleece the people. Most small dealers will not go out and invest in another fleet of trucks just to handle Off Road Diesel so we are stuck buying Road Diesel. We can file to get the road use tax back at the end of the year, but most are small users like me and will forget about it.

No think of it. If you have several thousand people in the state that use say 100 gallons a year, and the state has already collected the road use tax, that's $49.00 a person x the number of people that don't file to get it back.

It's just another way for the state to make money.
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I got it now. It's not a money thing... It's an availability thing! :thumb:

I'm surprised you guys up in Maine gave up so easily! ;) But at least now I understand the "heating oil tank (wink, wink) in barn" thang! :whistle:

Dougster
 
civesnedfield

civesnedfield

Member
Dougster said:
I got it now. It's not a money thing... It's an availability thing! :thumb:

I'm surprised you guys up in Maine gave up so easily! But at least now I understand the "heating oil tank (wink, wink) in barn" thang! :whistle:

Dougster
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We don't give up. It's just that those people that live in the Southern part of the State love this guy that's the Gov. The rest of us want to do two things. Get rid of the Gov and at the same time give the Southern part of the state back to Mass.
 
D

dsgsr

New member
civesnedfield said:
Don't worry David your secret is safe with me. If I used enough fuel to warrant a tank I would be doing the same thing. Believe it or not my buddies fuel oil company actually suggested he move his tank closer to the garage or barn and plumb up a dummy fuel line. If he did that they would be happy to drop #2 fuel off. If not he would have to buy taxed diesel. :bash:
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Thanks for your support civesnedfield, Some are just slow:)


David
 
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Dougster

Old Member
civesnedfield said:
Here is another link that may clear the issue somewhat.
http://www.meoil.com/documents/Buckslipnotice.pdf
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Thanks Ed. That's the clearest statement yet of the new problem that government has created for you.

Some of these numbers, dates and statements, here and elsewhere, are still throwing me. They don't jive with my personal experience. I am already using nothing but Ultra-low Sulfur Off-Road and have been doing so all summer. It is the same price as home heating oil around here. But I don't have it delivered. I pick it up myself.

Dougster
 
Ductape

Ductape

Member
civesnedfield said:
We don't give up. It's just that those people that live in the Southern part of the State love this guy that's the Gov. The rest of us want to do two things. Get rid of the Gov and at the same time give the Southern part of the state back to Mass.
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My brother lives up in the Springfield / Lee area, and he tells me that from Augusta south is really just a suburb of Boston, so this makes total sense to me.
 
civesnedfield

civesnedfield

Member
Ductape said:
My brother lives up in the Springfield / Lee area, and he tells me that from Augusta south is really just a suburb of Boston, so this makes total sense to me.
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You got that right. That's why there's a petition going around to have the Southern half of the State given back to MA
 
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