Fuel Tax Credits Rate Change – 30 March 2022

As a result of the recent budget announcement, the Government has temporarily reduced the excise duties which apply to petrol and diesel for a 6 month period from budget night which directly impacts the fuel tax credits rates. From 30 March 2022 the new rates are as follows:.

Note: All rates are in cents per litre unless otherwise stated.

Table 1: Rates for fuel acquired from 30 March 2022 to 30 June 2022

Eligible fuel typeUnitUsed in heavy vehicles for travelling on public roads (see note 1)All other business uses (including to power auxiliary equipment of a heavy vehicle) (see note 2)
Liquid fuels – for example, diesel or petrolcents per litre0 (see note 3)22.1
Blended fuels: B5, B20, E10cents per litre0 (see note 3)22.1
Blended fuel: E85cents per litre09.44
Liquefied petroleum gas (LPG) (duty paid)cents per litre07.2
Liquefied natural gas (LNG) or compressed natural gas (CNG) (duty paid)cents per kilogram015.2
B100cents per litre04.4

Table 2: Rates for fuel acquired from 1 February 2022 to 29 March 2022

Eligible fuel typeUnitUsed in heavy vehicles for travelling on public roads (see note 1)All other business uses (including to power auxiliary equipment of a heavy vehicle) (see note 2)
Liquid fuels – for example, diesel or petrolcents per litre17.844.2
Blended fuels: B5, B20, E10cents per litre17.844.2
Blended fuel: E85cents per litre018.955
Liquefied petroleum gas (LPG) (duty paid)cents per litre014.4
Liquefied natural gas (LNG) or compressed natural gas (CNG) (duty paid)cents per kilogram030.3
B100cents per litre08.8

Note 1: From 1 November 2019, this rate includes fuel used to power passenger air-conditioning of buses and coaches.

Note 2: Claims for packaging or supplying fuel can use the ‘all other business uses’ rate for the appropriate eligible fuel type.

Note 3: From 30 March 2022 until 28 September 2022, businesses using fuel in heavy vehicles for travelling on public roads will not be able to claim fuel tax credits as the road user charge (RUC) exceeds the excise duty paid.

Australian Taxation Office. (31 Mar 2022). Fuel schemes From 30 March 2022 to 30 June 2022 . Retrieved from https://www.ato.gov.au/Business/Fuel-schemes/Fuel-tax-credits—business/Rates—business/From-30-March-2022/

In text: (Australian Taxation Office, 2022)

Note: The material and contents provided in this publication are informative in nature only.  It is not intended to be advice and you should not act specifically on the basis of this information alone.  If expert assistance is required, professional advice should be obtained.

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