Get a rebate on bad debts from fuel sales
Apply for a fuel tax rebate on bad debts from fuel sold on credit. Fuel wholesalers and retailers need to apply within 48 months of the end of the first fiscal year that the bad debt was no longer included as an account receivable in your records.
Use the Fuel Tax – Bad Debts Rebate Application Form to apply for a fuel tax rebate on bad debts from fuel sold on credit.
If the debt is paid after you receive a rebate, you need to repay the Minister of Finance.
You can apply for the rebate if:
- you’re a fuel wholesaler or retailer
- the bad debt is no longer included as an account receivable in your records
- the bad debt is from fuel sold on credit
- you have a valid Retail Vendor Permit
- you and the debtor were dealing at arm’s length from each other when debt arose
- you haven’t offset the debt against an account payable to the debtor
- you haven’t assigned the debt without recourse and for consideration other than for security purposes
- the amount claimed was bought from you within 180 days of the debtor’s final credit purchase from you
- you need to be able to prove that you paid the fuel tax on the bad debts
- you apply within 48 months of the end of the first fiscal year that the bad debt was no longer included as an account receivable in your records
How to apply
- Complete the rebate application.
- Check the application for details on all required supporting documents.
- Send your completed application and supporting documents by mail. Or visit the Business Registration Unit.
How long it takes
It should take 3 to 6 weeks to get the rebate. It can take longer if more information is needed or if your application hasn’t been filled in correctly.
There is no cost to apply for the rebate.
Before you start
Make sure you have the fuel invoices. You also need to confirm the tax rate for the type of fuel included in the bad debts.