NZ Petrol Tax Refund 101: Common Questions
Can I Claim Tax Back From Fuel?
Yes! If you run a business and use petrol off-road for machinery like farm bikes, chainsaws, mowers, generators, or wood chippers (to name a few), you could be eligible for a petrol tax refund. It’s a great way to recoup some costs on fuel that isn’t used for road travel.
Is Fuel Tax Credit Taxable Income?
Surprisingly, yes. Excise tax on petrol includes GST. When you work with us, we’ll make it simple by clearly marking the GST portion on your credit note, so your records stay organised and easy to manage.
What Is a Fuel Tax Credit?
A fuel tax credit is a refund of the excise tax included in petrol prices, specifically for businesses and organisations using petrol off-road machinery. Since excise tax is essentially a road user charge, if use petrol off-road, you could be due some money back.
What Does Fuel Tax Pay For?
Fuel tax plays a vital role in maintaining and improving New Zealand’s infrastructure while ensuring the safety and well-being of those using it. Here's how the $0.72 (excl. GST) per litre is allocated:
70 cents per litre goes to the National Land Transport Fund, which supports road maintenance, public transport, road safety, and emergency repairs after events like earthquakes and rainstorms, ensuring a safer travel experience for all.
6 cents per litre is dedicated to ACC, providing injury cover for public road incidents and helping protect those on our roads.
0.66 cents per litre is directed to local councils, assisting in local infrastructure needs.
0.072 cents per litre funds the Petroleum or Engine Fuels Monitoring Levy (PEFML), which ensures fuel quality standards and monitoring to safeguard public health and safety.
Who Can Claim Fuel Tax Credits?
Businesses and organisations who use their petrol for off road purposes may be eligible to claim fuel tax credits. This includes a range of industries such as farming, food trucks, water blasting, & arborists just to name a few.
How to Claim Fuel Tax Credits
You can DIY through NZTA if you’re up for it, but if it keeps slipping down your to-do list, it’s likely more cost effective to let us handle it. After 24 months, unclaimed quarters are lost, and NZTA charges a 10% penalty for late submissions. That makes our 15% commission a convenient and budget-friendly option.
What is Fuel Tax?
Fuel tax is a road user tax included in petrol prices. For diesel and electric vehicles, you pay road user charges (RUC) in advance for mileage. With petrol, though, it’s included in the per-litre price, so if your business is using petrol off-road, you may be eligible for a petrol tax rebate. Get in touch today to get started.
How Much is the Fuel Tax Rebate?
On average, first-time fuel rebates are around $3,000, backdated 24 months back. Fuel excise tax is $0.89 per liter (including GST). For a clearer estimate, try our fuel rebate calculator to see how much you could claim!
Does my Accountant Claim This For Me?
Most accountants don’t handle fuel tax rebate claims, as it’s outside their usual services. Their hourly rates - typically range between $100 to $250 NZD an hour - can often outweigh the value of the rebate, making it an inefficient choice. Instead, outsourcing this to a specialist service like ours can save you time and money, ensuring you get the maximum refund without the added costs.
Our Fees
Registration via site visit: $149 (incl. GST)
Registration via phone or video call: Free
Commission: 15% + GST
Minimum fee: If your refund is less than 150L for a quarter, a $29.00 (+GST) minimum fee may apply.
Will I Be Signed Into a Contract?
No contracts, just great service. We don’t believe in locking you into anything. Our focus is on providing exceptional service so you’ll want to stay. If you’re happy with the savings and support, we’re confident you’ll keep working with us. If not, you’re free to walk away—no strings attached.
How Much is the Donation to Canterbury West Coast Air Rescue?
The default donation amount is 3.5% of your refund, but it is simple to adjust this according to what works best for you. We understand that many of our clients come from industries that can face financial pressures, so there is absolutely no obligation to donate. However, if this is a cause you feel passionate about, we’re proud to offer an easy way to contribute directly from your refund.