Wyoming Rues Wrongly Shelling Out Tax Refunds

Wyoming mistakenly gave nearly $4 million in fuel tax refunds to truckers that it should have kept, state officials said this week.

Wyoming does not plan to ask truckers for the back taxes, but some in-state motor carriers that did pay the tax are asking for a credit.

The overgenerous reimbursements stemmed from mistakes in the way Wyoming administered the refunds through the International Fuel Tax Agreement. The majority of the revenue that Wyoming refunded — $3.6 million — was on a 2-cent-per-gallon tax earmarked for education. The tax was refunded to truckers who bought fuel in the state and burned it elsewhere.

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Under IFTA, a trucker owes fuel taxes to the state in which the diesel is burned, regardless of where he or she bought the fuel. The amount due is determined by the percentage of miles the a trucker travels in each state and that state’s individual tax rate.



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