Fuel licenses: Motor vehicle fuel or special fuel

Things to know

The Taxpayer Access Point (TAP) online system is now available. It's an easier and faster way to manage your fuel tax accounts. Register your account through TAP.

License types

Once you're licensed or registered, there's no renewal period.

Supplier License

Allows the purchase and storage of non-taxed fuel within the bulk transfer-terminal system. It also allows for import and export of fuel.

Distributor License

Allows the tax-free purchase of fuel from a licensed supplier for immediate export to a destination outside the state. The import of fuel into the state by rail car or tanker truck. It also allows a tax-deferred purchase of motor fuel or special fuel from a licensed supplier and the tax-exempt sale of fuel to qualifying entities.

Blender License

Allows the blending of taxed fuel with untaxed liquids to produce motor or special fuel, including alternative fuels (biodiesel, ethanol, etc.) and the production of alternative fuels outside the bulk transfer-terminal system. Taxes are imposed on the volume of product not previously taxed.

Aircraft Fuel Distributor License

Allows the purchase of non-taxed aircraft fuel for resale.

Fuel Carrier Registration

Requires the reporting of fuel movement within Washington State as well as imports and exports from the state.

Terminal License

Requires the reporting of fuel movement in IRS registered terminals within Washington State. Each terminal location needs its own license. You can apply for all locations using a single application.

New Fuel Tax license types:

Current license Future license Bonding requirements

Motor Fuel Supplier
Special Fuel Supplier

Supplier $5,000 - $100,000
Motor Fuel Importer
Special Fuel Importer
Motor Fuel Exporter
Special Fuel Exporter
Motor Fuel Distributor
Special Fuel Distributor
Distributor $5,000 - $100,000
Aviation Distributor
Jet Distributor
Aircraft Distributor $5,000 to $100,000
Motor Fuel Blender
Special Fuel Blender
Blender $5,000 - $100,000
(Not previously required) Terminal Operators $0
(Not previously required) Fuel Carriers $0

Motor Fuel Handling Loss Allowance has been repealed

The motor fuel handling loss allowance was repealed effective July 15, 2015. Motor Fuel Suppliers, Blenders, and Importers are no longer able to take the motor fuel handling loss allowance or pass it along to your qualified customers.

When filing your monthly motor fuel tax return, you may include the motor fuel handling loss allowance for the period July 1 - 15, 2015. Distributions after 12:01 a.m. July 16, 2015 can't include the handling loss allowance.

Who needs a license?

Anyone who supplies, imports, exports, or blends motor or special fuel for sale.

How to get your license

You can apply in one of two ways:

  1. Apply online through TAP – PRFT Taxpayer Access Point
  2. Submit a completed Fuel Tax Application to:
    Department of Licensing
    Prorate and Fuel Tax
    PO Box 9228
    Olympia, WA 98507-9228

What you will need to apply:

  1. A fuel tax bond for each license type of fuel, excludes Terminal Operators and Fuel Carriers. The total amount of the bond, per license, is three times the estimated monthly fuel tax liability and must be between $5,000 and $100,000.
  2. If you're applying for a:
    • Fuel Supplier license - A copy of your Federal 637 License specific to tax-free fuel transactions and a copy of licenses issued by jurisdictions.
    • Fuel Distributor license -Copies of licenses by the jurisdiction where you're importing or exporting fuel.
    • Fuel Blender license - A copy of your Federal 637 license specific to the production and blending of fuel.
    • Fuel Terminal Operators - A copy of your Federal 637 excise tax registration authorizing tax-free transactions in the bulk transfer-terminal.
    • Fuel Carrier Registration - Complete and submit your Fuel Carrier Registration form.

How to file your tax return

  1. Online through TAP – PRFT Taxpayer Access Point.
    • You can enter tax information into TAP
    • or
    • Upload an Excel template containing your tax information. Contact our office at 360.664.1852 for a copy of the Excel template.
  2. XML Data Transfer - Transfer your tax information from your computer system into our system.
  3. By mail:
    • With payment enclosed:
      Prorate and Fuel Tax
      Department of Licensing
      PO Box 3777
      Seattle, WA 98124-3777
    • Without payment enclosed:
      Fuel Tax Section
      Department of Licensing
      PO Box 9228
      Olympia, WA 98507-9228

Fuel tax rate

Type of fuel Tax rate
Motor vehicle and special fuel $.494 per gallon

Due dates

The WA State Treasurer must receive your tax payment on or before the following dates:

Reporting period Report due EFT payment due*
November 2016 December 27, 2016 December 27, 2016
December 2016 January 25, 2017 January 26, 2017
January 2017 February 27, 2017 February 27, 2017
February 2017 March 27, 2017 March 27, 2017
March 2017 April 25, 2017 April 26, 2017
April 2017 May 25, 2017 May 26, 2017
May 2017 June 26, 2017 June 26, 2017
June 2017 July 25, 2017 July 26, 2017
July 2017 August 25, 2017 August 28, 2017
August 2017 September 25, 2017 September 26, 2017
September 2017 October 25, 2017 October 26, 2017
October 2017 November 27, 2017 November 27, 2017
November 2017 December 26, 2017 December 26, 2017
December 2017 January 25, 2018 January 26, 2018

*If they receive your payment after the:

  • Due date, you'll incur a penalty.
  • 1st of the following month, interest will  accrue.

Payment options

  • If you owe $50,000 or more, pay only by EFT.
  • If you owe less than $50,000, pay by check, money order, or EFT.

Contact your bank to complete EFTs. Submit a separate transmittal for each license type.

Related laws and rules

Reports and data

Related information

Questions? Need help?

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