IRS Proposes Regulations on Previously Taxed Dyed Fuel Payments

The IRS issued proposed rules on the statutory provision providing for payments to taxpayers with respect to certain previously taxed dyed fuel.

The proposed regulations (REG-119294-25; RIN 1545-BS09) were issued Thursday.

The regulations provide guidance on the taxpayers who can claim payments on previously taxed dyed diesel fuel or dyed kerosene under Section 6435 and the procedure they must follow to claim the payments.

The IRS also issued temporary regulations (TD 10047) with the same text as the proposed regulations, which will be effective until May 1, 2029, or any statutory change that appropriates funds to ...