Federal Excise Tax Information
Posted on October 21, 2021 at 12:49 PM by Kansas Department of Administration
With agencies responsible for directly purchasing fuel for both rental vehicles and agency owned vehicles, your agency will need to take appropriate action to claim any refunds of federal excise tax that may be available to your agency.
At the close of each quarter, the Division of Accounts and Reports sends each agency a report extracted from STARS that lists all motor fuel purchases made by the agency. Agencies are asked to verify that the purchases included federal excise tax, and add the number of gallons purchased, along with the appropriate excise tax rate per gallon.
The Division of Accounts and Reports accumulates the completed reports, and submits a consolidated excise tax refund request to the federal government. When the refund check is received, it is deposited into the appropriate agency accounts via journal voucher.
Q. What object codes are included on the quarterly report extracted from STARS?
A. At this time, object codes included on this report are:
3508 Motor Vehicle Parts, Supplies and Accessories - BPC Purchases
3510 Gasoline
3530 Gasohol
3550 Aircraft Fuel
3910 Agricultural Supplies, Materials and Parts
Q. Can I claim a federal excise tax refund for purchases of fuel for state vehicles that has been reimbursed to a state employee?
A. No - the refund can be claimed only on direct purchases of fuel by the State of Kansas. This includes payments made to fuel providers or made with Automotive BPCs.
Q. Do I claim a Federal Excise Tax refund for fuel purchases made with Wright Express fuel cards?
A. Yes, but only on those fuel purchases identified on the monthly Vehicle Analysis Reports where federal excise tax was paid to Wright Express.
Q. How do I know what rate per gallon I may claim as a refund?
A. The refund rate is based on the date of purchase and type of fuel. The appropriate rates for each quarter will be included in the cover letter sent with the report.
At the close of each quarter, the Division of Accounts and Reports sends each agency a report extracted from STARS that lists all motor fuel purchases made by the agency. Agencies are asked to verify that the purchases included federal excise tax, and add the number of gallons purchased, along with the appropriate excise tax rate per gallon.
The Division of Accounts and Reports accumulates the completed reports, and submits a consolidated excise tax refund request to the federal government. When the refund check is received, it is deposited into the appropriate agency accounts via journal voucher.
- Federal Excise Tax Refund Information
Q. What object codes are included on the quarterly report extracted from STARS?
A. At this time, object codes included on this report are:
3508 Motor Vehicle Parts, Supplies and Accessories - BPC Purchases
3510 Gasoline
3530 Gasohol
3550 Aircraft Fuel
3910 Agricultural Supplies, Materials and Parts
Q. Can I claim a federal excise tax refund for purchases of fuel for state vehicles that has been reimbursed to a state employee?
A. No - the refund can be claimed only on direct purchases of fuel by the State of Kansas. This includes payments made to fuel providers or made with Automotive BPCs.
Q. Do I claim a Federal Excise Tax refund for fuel purchases made with Wright Express fuel cards?
A. Yes, but only on those fuel purchases identified on the monthly Vehicle Analysis Reports where federal excise tax was paid to Wright Express.
Q. How do I know what rate per gallon I may claim as a refund?
A. The refund rate is based on the date of purchase and type of fuel. The appropriate rates for each quarter will be included in the cover letter sent with the report.
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