Energy Tax Filers Survival Guide: The Benefits of Preparing Excise, Sales, and Use Tax Together

Midstream and downstream energy companies often need to collect sales and use tax in addition to motor fuel excise, environmental, and alternative fuel taxes. And in many cases, there are different departments involved in managing these complicated taxes which have rates and rules that vary by jurisdiction. Many states require sales and use tax collection on bulk fuel sales, while others require sales and use tax only be charged when there is an exemption from excise tax. Also, some fuel suppliers sell non-fuel products that are subject to sales and use tax. Due to the interrelationships between these taxes, many companies would find an integrated filing process beneficial to their business.