Federal Fuel Tax Credit
Are you an owner of a Liquid Propane (LP) operated forklift? If you are, then you may qualify for money to be put back into your pocket. This year due to the Tax Increase Prevention Act of 2014 propane forklift owners have the opportunity to apply for an alternative fuel tax credit. This is a one-time claim to receive a 50-cent per gallon for every gallon of propane that was used during the 2014 business year. This is an excellent opportunity to drive down your operating costs over the past year. Also, due to some lag time in receiving this tax credit, this claim could prove to be a great way to close the 2015 year or jump start into 2016.
Tax Credit Requirements:
- End-user of the forklift, not a propane marketer.
- File Form 637 with the IRS. Found at http://www.irs.gov/pub/irs-pdf/f637.pdf
- This form is required to register the end-user as a user of alternative fuel energy. After this form has been filed, the IRS will issue a registration number to be used to file for the tax credit.
- File Form 720-X, Amended Quarterly Federal Excise Tax Return with the IRS. http://www.irs.gov/uac/Form-720-X,-Amended-Quarterly-Federal-Excise-Tax-Return
**Although this process has few requirements, all owners are encouraged to speak with a tax professional to ensure they meet eligibility requirements.**
This tax credit is another great reason why LP lift trucks are a viable option for your material handling needs. With a higher demand for environmentally safer industry processes, propane meets both performance and environment standards. It has been shown that propane has 7 percent and 19 percent to their diesel and gasoline counterpart respectively. These emissions are coupled with faster speeds and outdoor capabilities compared to electric forklifts. Contact us about how you could benefit by switching to a liquid propane industrial truck!