I am perplexed by the IRS' claims that Jet Fuel is getting diverted for
highway usage.

Isn't Jet Fuel more expensive than diesel wholesale? I know it is more
retail. It just doesn't seem logical that people would be buying Jet to
avoid the measly difference in taxation. After all, most won't many diesel
engines wear out on Jet A if you don't add lubricants to it?

Does anyone know anything about this? My guesses

A: Some number cruncher found discovered a discrepancy in the Jet A sold and
the Jet A used numbers and can't figure out the discrepancy so they assume
cheating.

B: They have real evidence, and I am missing something.

C: They want to float the difference on the refund to make some budget
money.

>Isn't Jet Fuel more expensive than diesel wholesale? I know it is more
>retail. It just doesn't seem logical that people would be buying Jet to
>avoid the measly difference in taxation. After all, most won't many diesel
>engines wear out on Jet A if you don't add lubricants to it?

We may be paying $4.00 or more at the FBO's, but the bulk rate to the
airlines is $1.20 or so.

I ran Jet A in my ground support equipment for 25 years or so with no
problems. If you are worried, dump a little oil in it.

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"Don Hammer" > wrote in message
...
>
>>Isn't Jet Fuel more expensive than diesel wholesale? I know it is more
>>retail. It just doesn't seem logical that people would be buying Jet to
>>avoid the measly difference in taxation. After all, most won't many
>>diesel
>>engines wear out on Jet A if you don't add lubricants to it?
>
> We may be paying $4.00 or more at the FBO's, but the bulk rate to the
> airlines is $1.20 or so.
>
> I ran Jet A in my ground support equipment for 25 years or so with no
> problems. If you are worried, dump a little oil in it.
>
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Ahhh, but that is not highway use. I think actions like this may have
caused the supposed problem, but I am not sure that you actually have to pay
ANY tax for ground support trucks unless they can legally use the roads.

>
>
>Ahhh, but that is not highway use. I think actions like this may have
>caused the supposed problem, but I am not sure that you actually have to pay
>ANY tax for ground support trucks unless they can legally use the roads.
>

The point I was trying to make is jet fuel can be purchased in bulk at
less than diesel from the pump. Do you think it is possible that
companies like FedEx might be filling their trucks at the airport? I
don't know the answer to that. If that is the case, they are not
paying road use taxes on the fuel.

My comments on the ground support equipment was to reflect my
experience of having no problem burning it without damage to the
engines. One aircraft mechanic that worked for me used it in his
Dodge pickup for at least 10 years that I know of. It was stuff we
drained out for normal maintenance and inspections and we gave it to
him so we didn't have to pay someone to dispose of it.

BTW a farmer can get a refund of the road use tax he pays when buying
fuel.

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