Some diesel fuel is dyed to have a red color to mark it as tax-exempt fuel. Dyed diesel is sold at a lower price than usual diesel and is used for non-highway farming or construction equipment, stationary engines, generators, and marine vessels. People call it farm diesel, marked fuel, or red diesel. Its on-road using is prohibited, except for some users approved by the Internal Revenue Service (IRS). But what is the fine for running off road diesel on public roadways?

The dyed fuel enforcement program was launched in 1994 by the government of the United States. It is run by IRS. Whether it is Washington, Texas, Florida, Ohio, Alabama, or other states, the fine for illegal use of dyed diesel is $10/gallon or $1,000 per violation (a tank with red diesel), whichever is greater. For instance, if 20 gallons of such fuel are revealed in your tank, the fine will be $1,000. Two such tanks will make it double. After the first violation, each repeated one will increase a penalty by $1,000 compared to previous violation, so the total amount of penalty depends on the number of violations. Alaska is the only state having special regulations about dyed diesel, which allow to avoid the fine in some cases.

What is the fine for running off road diesel

State The fine for illegal use of dyed diesel Diesel Taxes/Fees (cpg) Alabama $10/gallon or $1,000 per violation 46.3 Alaska special regulations 32.4 Arizona $10/gallon or $1,000 per violation 43.4 Arkansas $10/gallon or $1,000 per violation 47.2 California $10/gallon or $1,000 per violation 79.5 Colorado $10/gallon or $1,000 per violation 44.9 Connecticut $10/gallon or $1,000 per violation 70.6 Delaware $10/gallon or $1,000 per violation 46.4 District of Columbia $10/gallon or $1,000 per violation 47.9 Florida $10/gallon or $1,000 per violation 54.9 Georgia $10/gallon or $1,000 per violation 56.3 Hawaii $10/gallon or $1,000 per violation 75.2 Idaho $10/gallon or $1,000 per violation 49.4 Illinois $10/gallon or $1,000 per violation 70.1 Indiana $10/gallon or $1,000 per violation 76.2 Iowa $10/gallon or $1,000 per violation 47.9 Kansas $10/gallon or $1,000 per violation 51.4 Kentucky $10/gallon or $1,000 per violation 43.9 Louisiana $10/gallon or $1,000 per violation 44.4 Maine $10/gallon or $1,000 per violation 57.1 Maryland $10/gallon or $1,000 per violation 48.7 Massachusetts $10/gallon or $1,000 per violation 47.9 Michigan $10/gallon or $1,000 per violation 64.4 Minnesota $10/gallon or $1,000 per violation 52 Mississippi $10/gallon or $1,000 per violation 43.2 Missouri $10/gallon or $1,000 per violation 41.7 Montana $10/gallon or $1,000 per violation 53 Nebraska $10/gallon or $1,000 per violation 51.4 Nevada $10/gallon or $1,000 per violation 53 New Hampshire $10/gallon or $1,000 per violation 44 New Jersey $10/gallon or $1,000 per violation 41.9 New Mexico $10/gallon or $1,000 per violation 47.2 New York $10/gallon or $1,000 per violation 75.1 North Carolina $10/gallon or $1,000 per violation 63.6 North Dakota $10/gallon or $1,000 per violation 47.4 Ohio $10/gallon or $1,000 per violation 52.4 Oklahoma $10/gallon or $1,000 per violation 38.4 Oregon $10/gallon or $1,000 per violation 54.7 Pennsylvania $10/gallon or $1,000 per violation 63.6 Rhode Island $10/gallon or $1,000 per violation 57.4 South Carolina $10/gallon or $1,000 per violation 41.2 South Dakota $10/gallon or $1,000 per violation 48.4 Tennessee $10/gallon or $1,000 per violation 42.8 Texas $10/gallon or $1,000 per violation 44.4 Utah $10/gallon or $1,000 per violation 48.9 Vermont $10/gallon or $1,000 per violation 53.4 Virginia $10/gallon or $1,000 per violation 44.7 Washington $10/gallon or $1,000 per violation 61.9 West Virginia $10/gallon or $1,000 per violation 56.5 Wisconsin $10/gallon or $1,000 per violation 57.3 Wyoming $10/gallon or $1,000 per violation 38.4

IRS inspectors are authorized to check the fuel in licensed highway vehicles and issue fines to violators. However, some users listed below can get a license from IRS for using dyed diesel on-road:

Public school districts Government agencies Nonprofit educational organizations

Tractors and other farm equipment have to use it within the distance of 25 miles from the registered address.

To secure yourself from buying red diesel illegally, pay attention to pump labels and fuel itself and try to buy it from suppliers you know to be reputable. It is a requirement of IRS that all pumps dispensing any dyed fuel must be labeled with a special inscription: “DYED DIESEL FUEL, NONTAXABLE USE ONLY, PENALTY FOR TAXABLE USE”. A similar rule concerns dyed kerosene as well.

About the author Nicke drives a Land Rover Discovery equipped with a Garmin GPS, Dell Laptop mounted to a Jotto Desk laptop mount to accurately record his off-road trails. He is a member of the Chicago Land Rover Club, Rover Riders and the Solihull Society.

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