Sec. 03.03.01.05. Filing—Records

A. Except as provided in §B of this regulation, fuel tax returns shall be filed monthly with appropriate remittance on forms prescribed by the Comptroller. If no sales or operations were conducted in any particular reporting period, required returns shall be filed, stating this fact.

B. Annual Filing Option.

(1) A special fuel user engaged in the business of agriculture may request approval to file an annual fuel tax return.

(2) To qualify for the annual filing option, a special fuel user shall:

(a) Be engaged in the business of agriculture;

(b) Have an average taxable use of 2,000 gallons or less; and

(c) Submit a written request and receive written approval from the Comptroller, before filing.

C. Special Fuel Sellers and Turbine Fuel Sellers.

(1) Special fuel sellers and turbine fuel sellers shall maintain records of all special fuels acquired, sold, or used, both taxable and nontaxable. Records shall include the total miles the seller's own vehicles were operated and all records shall be available at the time of the audit.

(2) All sales or use of special fuels made from retail type dispensers at retail service stations shall be made with tax included (kerosene may be excluded provided the seller is the holder of a valid Exemption Certificate).

D. Special fuel users shall maintain records of all special fuels acquired and used, both taxable and nontaxable, and records of the miles traveled by each special fuel powered vehicle.

E. The inability of the Motor Fuel Tax Bureau to trace motor fuel from seller to purchaser as a result of inadequate reporting or record keeping may result in the assessment of tax and interest against either the supplier or the purchaser.

F. Exemption certificate holders shall file annually on forms prescribed by the Comptroller, at renewal time, all purchases of special fuel by type of product as well as each supplier thereof. (Licensed dealers, special fuel sellers, special fuel users, and turbine fuel sellers are excluded.)

G. Licensed distributors shall report receipts, sales, and use of all motor fuels on forms provided by the Comptroller as prescribed.