Exempt Bus Operator Diesel Fuel Tax Return, CDTFA-501 - DB
GENERAL INFORMATION
The California Department of Tax and Fee Administration (CDTFA) is responsible for collecting taxes under the Diesel Fuel Tax Law.
This return is for reporting ex-tax fuel only. The law does not authorize an exempt bus operator to claim a refund or credit when tax-paid fuel is used in an exempt manner - only the supplier (the ultimate vendor) that sells fuel to the exempt bus operator may claim a refund. An exempt bus operator that purchases tax-paid fuel for use in exempt operations must seek a refund from its vendor, and the vendor may seek a refund from the CDTFA.
FILING REQUIREMENTS
Under section 60205 of the Diesel Fuel Tax Law, every exempt bus operator must file a return on or before the last day of a calendar month following the period for which tax is due. This return must be filed even if you have no tax liability. Under section 60207 of the Diesel Fuel Tax Law, late payment will result in a 10 percent (0.10) penalty and interest at an adjusted annual rate established under section 6591.5 of the Revenue and Taxation Code (R&TC).
Pursuant to section 60502.2 of the Diesel Fuel Tax Law, for the privilege of operating buses on state highways and freeways, exempt bus operators must make a payment equal to one cent ($0.01) for each gallon of the refunded or exempt diesel fuel used in exempt bus operations in this state. Additionally, exempt bus operators must pay the current diesel fuel tax rate for all ex-tax diesel fuel used on highways in non-exempt bus operations in this state. Only dyed diesel and ex-tax undyed diesel can be reported on this form.
DEFINITIONS
Dyed Diesel Fuel means diesel fuel that is dyed under the United States Environmental Protection Agency or the Internal Revenue Service rules for high sulfur diesel fuel or low sulfur diesel fuel or any requirements subsequently set by the United States Environmental Protection Agency or the Internal Revenue Service and considered destined for nontaxable, off-highway uses.
Undyed Diesel Fuel means diesel fuel that is not subject to the United States Environmental Protection Agency or the Internal Revenue Service diesel fuel dyeing requirements.
Ex-tax Diesel Fuel means diesel fuel that has been purchased under an exemption certificate, without payment of the California Diesel Fuel Tax to a supplier or vendor. Ex-tax diesel fuel also includes dyed diesel fuel purchased without payment of the diesel fuel tax to a supplier or vendor.
Note: If you sell undyed diesel fuel to anyone other than an exempt bus operator, the fuel must be sold as tax paid fuel. When you purchase the fuel, which is to be resold tax-paid, you must pay the tax on the portion to be resold by submitting a partial exemption certificate to your vendor/supplier.
PREPARATION OF THE TAX RETURN
Note: Tax-paid diesel fuel cannot be reported on this tax return. Exempt bus operators must either purchase undyed (clear) ex-tax diesel fuel for their exempt use or purchase dyed diesel fuel for their exempt use. Report all values to the nearest gallon.
Report of Ex-Tax Diesel Fuel Transactions
Total gallons of undyed diesel fuel purchased ex-tax. Enter the total gallons of undyed diesel fuel purchased ex-tax. (Enter from Receipt Schedule 2A)
Total gallons of dyed diesel fuel purchased. Enter the total gallons of dyed diesel fuel purchased. (Enter from Receipt Schedule 2A)
Total gallons of both ex-tax undyed diesel fuel and dyed diesel fuel used off-highway. Enter the total gallons of ex-tax diesel fuel used off-highway.
Exempt Bus Operator Return
Total gallons of ex-tax diesel fuel used in exempt bus operations. Enter the total gallons of both dyed and ex-tax undyed diesel fuel used in exempt bus operations.
Note: If any fuel used in exempt bus operations is fuel in which tax has been paid, you cannot obtain a refund or credit on this return. You must contact your vendor and provide an exemption certificate to the vendor to obtain credit for any tax erroneously paid on your purchase.
Total gallons of ex-tax diesel fuel purchased and used in non-exempt bus operations. Enter the total gallons of ex-tax diesel fuel purchased and used in vehicles in non-exempt bus operations. These gallons include ex-tax diesel fuel used in charter and passenger stage operations. Tax-paid fuel used in non-exempt bus operations is not reportable on this return.
ATTACH RECEIPT SCHEDULE 2A
Attachments
To add the Receipt Schedule 2A, click on the “Add” button and upload document.
Receipt Schedule 2A, is included with every Exempt Bus Operator Diesel Fuel Tax Return. You must select a product code for the type of product reported and enter the product code on the schedule. Photocopy additional schedules as required, to report only one product code per page. For each schedule, complete the information in box (d) Product Code in the header of the schedule. Boxes (a) Company Name, (b) Account Number, (c) Schedule Code, and (e) Month/Year will be completed for you.
Do not complete columns 1 through 4, 9, and 10. Enter (5) Acquired From (Seller's Name), (6) Seller's Federal Employer Identification Number (FEIN) or CDTFA account number if FEIN is not available, (7) Document Date (mm/dd/yy), (8) Document Number (invoice or receipt number), and (11) Billed Gallons.
Only report purchases of dyed diesel fuel and/or undyed diesel fuel purchased ex-tax under an exemption certificate.
Diesel Fuel Product Codes
The diesel fuel tax is imposed on any liquid that is commonly or commercially known or sold as a fuel that is suitable for use in a diesel powered highway vehicle. To obtain the latest information on product codes, please view our Product Code Table on the CDTFA website at CDTFA-810-FTB
Summary (the system will automatically calculate the items below)
Summary of Exempt Bus Operations
Total gallons of ex-tax diesel fuel used in exempt bus operations
Tax rate on ex-tax diesel fuel used in exempt bus operations
Tax due on ex-tax diesel fuel used in exempt but operations
Summary of Non-Exempt Bus Operations
Total gallons of ex-tax diesel fuel purchased and used in non-exempt bus operations
Tax rate on ex-tax diesel fuel used in non-exempt bus operations
Tax due on ex-tax diesel fuel used in non-exempt bus operations
Summary Totals
Tax due
Penalty. A 10% (0.10) penalty on the tax amount is due if you are paying after the due date of the return.
Interest. Interest is due on the tax amount if you are paying after the due date of the return. The interest rate applies for each month, or fraction of a month, that your payment is late.
Total amount due and payable
Your information
I hereby certify that this return, including any accompanying documents and statements, has been examined by me and to the best of my knowledge and belief is true, correct, and complete.
First Name
Last Name
Title
Telephone