Forum name: Tax Topics For Expediters.
Subject: Excise Tax
Posted by: themagicoen
Message :
I searched for this but couldn't find an answer. Okay, if I buy a truck that is less than empty weight of 33k #s I don't have to pay FET right? I'm slightly confused as to this FET. Now if I add a pusher axle from the dealer he said I would have to pay the 12% on the whole purchase??? So I talked to a mod shop and he told me that if I get it from him that I would only pay 12% on the axle. Who's right and and who's wrong. Thanks Frank.
themagicoen,
Federal Excise tax is an add on tax mainley for state use only, you have to check with that state as to why you have to pay it. One way or another you are. There really is no way around it.
You pay it on cigarettes and tobacco products and fuel purchases that is the difference of what the state tax is vs the federal tax.ETC/
the 12 % is for a Property Use or highway use. So if it is an addon, you pay on the whole unit, including the truck, If you purchase it after you take delivery then you only pay on the pusher axle, which would you rather pay. that is your decision, the truck is exempt by itself. but any add ons it is not.
Generator, pusher/or drop axles, lift gates. etc.
Frank
