California CDTFA Issues Guide on Use Fuel Tax for Heavy Vehicles

The California Department of Tax and Fee Administration (CDTFA) issued guidance on California’s use fuel tax system that applies to vehicles with an unladen weight exceeding 7,000 pounds operating on California highways. The publication explains tax obligations for alternative fuels, including liquefied petroleum gas, dimethyl ether, natural gas, kerosene, and alcohol fuels, while excluding gasoline and diesel fuel, which are subject to separate tax regimes. The guide details permit requirements for both vendors who sell fuel and users who purchase fuel, outlines quarterly reporting and payment obligations, and describes various exemptions, including off-highway use, transit operator reduced rates, federal government ...