An Act Regarding the Tax on Fuel Used for Commercial Agriculture, Fishing and Forestry
Maine Legislature, Session 124, LD 0072
Committee: Taxation
Sponsors: EDGECOMB, JACKSON, PERCY
Amends: 36 MRSA §2908

FIRST RF:GULAR SESSION-2009 
Legislative Document 
No. 72 
H.P.61 
House of Representatives, January 7, 2009 
An Act Regarding the Tax on Fuel Used for Commercial 
Agriculture, Fishing and Forestry 
Reference to the Committee on Taxation suggested and ordered printed. 
Presented by Representative EDGECOMB of Caribou. 
Cosponsored by Senator JACKSON of Aroostook and 
Representative: PERCY of Phippsburg. 
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MILLICENT M. MacFARLAND 
Clerk 
Be it enacted by the People of the state of Maine as follows: 
Sec. 1. 36 MRSA §2908, as arriended by PL 2007, c. 438, §70, is repealed and the 
following enacted in its place: 
§2908. Refund of tax in certain cases; time limit 
1. Commercial.forestry, agriculture and fishing. A person who purchases and 
uses internal combustion engine fuel fm commercial forestlY, agriculture or fishing, other 
than in the operation of a registered motor vehicle on the highways of this State or, except 
as provided in section 2910, in the operation of an aircraft, and who has paid the tax 
imposed by this chapter on that fuel is entitled to reimbursement in the amount of the tax 
paid, less 5¢ per gallon, upon presenting to the State Tax Assessor a sworn statement 
accompanied by evidence as the assessor may require. The statement must show the total 
amount of internal combustion engine. fuel so purchased and used by that person for a 
commercial forestry, agriculture or fishing use other than in the operation of registered 
motor vehicles on the highways of this State or in the operation of aircraft. 
Fuel that qualifies for a refund under this subsection is exempt from the use tax imposed 
by chapter 215. 
2. Other commercial use. A person who purchases and uses internal combustion 
engine fuel for a commercial use other than those provided in subsection l, in the 
operation of a registered motor vehicle on the highways of this State or, except as 
provided in section 2910, in the operation of an aircraft and who has paid the tax imposed 
by this chapter on that fuel is entitled to reimbursement in the amount of the tax paid, less 
¢ per gallon, upon presenting to the State Tax Assessor a sworn statement accompanied 
by evidence as the assessor may require. The statement must show the total amount of 
internal combustion engine fuel so purchased and used by that person for a commercial 
use other than those specified in subsection 1, in the operation of registered motor 
vehicles on the highways of this State or in the operation of aircraft. 
Fuel that qualifies for a refund under this subsection is subject to the use tax imposed by 
chapter 215. 
3. Refund application; time limit. A refund application on a form prescribed by 
the State Tax Assessor must be filed to claim a refund pursuant to this section. Interest 
must be paid at the rate determined pursuant to section 186, calculated from the date of 
receipt of the claim, for all proper claims not paid within 30 days of receipt. Applications 
for refunds must be filed with the assessor within 12 months from the date of purchase. 
Sec. 2. Application. This Act applies to sales of internal combustion engine fuel 
on or after October 1, 2009. 
SUMMARY 
Current law allows a person who purchases and uses intel11al combustion engine fuel 
for any commercial use, other than in a motor vehicle on the highways of the State or for 
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aircraft, to apply for a refund of the excise tax paid on that fuel, less I ¢ per gallon. Any 
fuel that qualifies for a refund is then subject to the state use tax of 5%. 
This bill allows a person who purchases and uses internal combustion fuel for 
commercial fishing, forestry or agriculture purposes to apply for a refund of the excise 
tax paid, less 5¢ per gallon; such fuel is also exempt from the use tax. All fuel used for 
other commercial purposes remains eligible for a refund of the excise tax, less 1 ¢ per 
gallon, and subject to the use tax.