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  • Steve Kirschner
    Founding Partner - Passion for Strategic Planning
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    Partner - Accounting Professor at Clayton State University
  • Jerry Davis
    Partner - Tax Specialist and Blog Author

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« Social Security Wage Base | Main | IRS Announces 2008 Standard Mileage Rates »

January 17, 2008

Alternative Fuel Tax Credit for Businesses Using Propane-powered Forklifts

Congress recently enacted legislation allowing a 50¢ per gallon tax credit for companies using propane in forklifts. Even though forklifts are normally exempt at the time of purchase from the federal excise tax on propane, they are still eligible to claim the 50¢ per gallon credit for business use.

The forklift user must first register with the IRS by filing Form 637 with the IRS to register as an "Alternative Fueler." The IRS may perform an onsite inspection of taxpayers who file the Form 637 to make sure they qualify for the credit. Once the registration is approved, the business can file the claim for the credit with its annual federal income tax return.

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Testing how this comment thing works out. GOod post!

Testing how this comment thing works out. GOod post!

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  • IRS regulations require us to advise you that, unless otherwise specifically noted, any federal tax advice in this communication (including any attachments, enclosures, or other accompanying materials) was not intended or written to be used, and it cannot be used, by any taxpayer for the purpose of avoiding penalties; furthermore, this communication was not intended or written to support the promotion or marketing of any of the transactions or matters it addresses.

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