Frequently Asked Questions About Refunds
- I paid more tax on my purchases than I collected on my sales because the same method of volume measurement was not used. Can I apply for a refund?
- I operate a gas station. Can I apply for a tax refund to cover gasoline losses due to handling and evaporation?
- I operate a vehicle that powers auxiliary equipment. Am I eligible for a refund?
- How do I get information on gasoline tax refunds?
- Who can claim a refund of gasoline tax?
I paid more tax on my purchases than I collected on my sales because the same method of volume measurement was not used. Can I apply for a refund?
Gasoline taxes must be collected and accounted for using the same method of volume measurement (ambient or volume corrected) used to calculate the product selling price. Collectors and wholesalers are authorized to provide ambient temperature allowances (0.35% for gasoline tax) to their customers to offset the tax differential where a customer purchases product measured on a volume corrected basis but dispenses only on an ambient temperature basis. Any person, including a retailer, who has remitted to the Minister an amount in excess of the tax collectable and payable by the person (ie. who has not received the allowance), may apply directly to the Client Accounts and Servies Branch for a refund.
For further information on this subject, please refer to Ontario Tax Bulletin FT/GT 2-2000.
I operate a gas station. Can I apply for a tax refund to cover gasoline losses due to handling and evaporation?
Most retailers (gas stations) can apply for a tax refund to cover gasoline losses due to handling and evaporation under "TEU Schedule 1 (Allowance to retailers)". Receipted invoices must be submitted to support the claim. The rate of refund is based on 0.21% of Ontario tax paid on gasoline sold at retail. "Outlets" owned and operated by collectors do not qualify for this allowance.
I operate a vehicle that powers auxiliary equipment. Am I eligible for a refund?
Yes, provided that the gasoline is coming from the same tank which powers the vehicle and proper proof is submitted by the claimant to support a Power Take-Off (PTO) claim. Proof includes a list showing each vehicle for which a PTO refund is being claimed and the type of auxiliary equipment being used. This list must indicate the make, model, and license plate number of the vehicle. Also, the manufacturer's specifications of the auxiliary equipment must be included with the claim.
Further information may be obtained by referencing Ontario Tax Bulletin FT/GT 4-2000.
Where the auxiliary equipment of a motor vehicle has its own separate fuel tank, coloured fuel should be used; no refund is available if clear fuel is used.
How do I get information on gasoline tax refunds?
You may call the Client Accounts and Services Branch directly at 1 866 ONT-TAXS (1 866 668-8297) or write to:
Ministry of Revenue
Client Accounts and Services Branch
Gasoline Tax Program
33 King St W
PO Box 625
Oshawa ON L1H 8H9
Who can claim a refund of gasoline tax?
A refund of gasoline tax may be claimed by the purchaser who has used the gasoline exclusively in equipment or unlicensed motor vehicles for business, industrial or institutional purposes.
