New York Codes, Rules and Regulations › Title 20 - DEPARTMENT OF TAXATION AND FINANCE › Chapter III - Fuel and Carrier Taxes › Subchapter A - Motor Fuel And Diesel Motor Fuel Tax › Article 1 - Motor Fuel Tax › Part 410 - Introduction And Definitions › Section 410.2 - Definitions

Current through Register Vol. 46, No. 28, July 10, 2024
Tax Law, §§ 282, 289-c, 1101(b), 1102(e)
(a)
(1)
(i)
Motor fuel
means
					 gasoline, benzol or other product, except kerosene and crude oil, which is
					 suitable for use in the operation of a motor vehicle engine. If kerosene or
					 crude oil is compounded or mixed with any other product or products, and the
					 resulting compound or mixture is suitable for use in the operation of any such
					 motor vehicle engine, such resulting compound or mixture in its entirety is
					 motor fuel.
Motor fuel
includes, but is not limited to,
					 gasoline, benzol, benzene, naphtha, ethanol, methanol, liquefied petroleum gas,
					 compressed natural gas, propane gas, or any combination, or any other product,
					 or combination of products, which is suitable for use in the operation of a
					 motor vehicle engine.
(ii) However,
					 any product that is not commonly or commercially known or sold as gasoline or a
					 blend thereof, will not generally be considered to be suitable for use in the
					 operation of a motor vehicle engine until one of the following, whichever is
					 the earliest, takes place.
(a) The product is
					 compounded or otherwise mixed with any other product or products, the result of
					 which is suitable for use in the operation of a motor vehicle engine.
Example 1:
A sells gasoline, as well as other petroleum products
						that are used for industrial purposes. A also uses light naphtha and other
						petrochemicals for blending. Those additives, when compounded or otherwise
						mixed with gasoline, are motor fuel suitable for use in the operation of a
						motor vehicle engine. A has produced additional motor fuel in this State.
						Consequently, A must be registered under article 12-A of the Tax Law and pay
						the taxes imposed on such motor fuel.
(b) The product is destined for use in the
					 operation of a motor vehicle engine as is reasonably concluded from facts and
					 circumstances concerning such product.
Example 2:
B sells gasoline, gasohol and other motor fuels
						exclusively. B transports methanol to its motor fuel terminal in New York
						State. It can reasonably be concluded that such product is motor fuel suitable
						for use in the operation of a motor vehicle engine. B is deemed to have
						produced motor fuel in this State because B established the methanol as motor
						fuel. Consequently, B must be registered under article 12-A of the Tax Law and
						pay the taxes imposed on such motor fuel.
(c) The product is specifically designated as
					 a fuel suitable for use in the operation of a motor vehicle engine.
Example 3:
C sells a variety of denatured alcohols, including
						anhydrous ethyl alcohol. These products are primarily used by C's customers as
						solvents and reagents. C also sells a portion of the anhydrous ethyl alcohol as
						ethanol fuel. Such product is motor fuel suitable for use in the operation of a
						motor vehicle engine when the specific designation is made. C is deemed to have
						produced motor fuel in this State because C established the ethyl alcohol as
						motor fuel on the sale thereof as motor fuel. Consequently, C must be
						registered under article 12-A of the Tax Law and pay the taxes imposed on such
						motor fuel.
(d) The product
					 is pumped into the fuel tank of a motor vehicle for use in the operation
					 thereof on the public highways of New York State or is pumped into the fuel
					 tank of a pleasure or recreational motor boat for use in the operation thereof
					 on the waterways of New York State, including any waterways bordering on the
					 State.
Example 4:
D sells compressed natural gas for heating purposes. In
						addition, D sells such product to persons operating motor vehicles that have
						been specially adapted to operate on compressed natural gas. Such compressed
						natural gas is motor fuel suitable for use in the operation of a motor vehicle
						engine when it is pumped into the fuel tank of a motor vehicle for use in the
						operation of the vehicle. D is deemed to have produced motor fuel in this State
						because D established the compressed natural gas as motor fuel. Consequently, D
						must be registered under article 12-A of the Tax Law and pay the taxes imposed
						on such motor fuel.
(iii) Motor fuel that is suitable for use in
					 the operation of an engine of the diesel type is "diesel motor fuel" as defined
					 in this subdivision, and as such is subject to tax as diesel motor fuel
					 pursuant to section 282-a  of the Tax Law.