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Excise Gasoline Tax Refund – How Can You Get Gasoline Tax Refund in Canada?

Should you be a resident of Canada and suffer from a long-term disability that makes it unsafe for you to use public transit, you may be eligible to apply for a partial reimbursement of the federal excise tax you spend on petrol purchases. In order to alleviate the cost of gasoline taxes for the three categories of individuals and businesses that I will be discussing in this essay, the Canadian government launched the Gasoline Tax Refund program.

The reimbursement may be requested for a maximum of two years following the date of purchase. In order to apply for the Excise Gasoline Tax Refund 2024, download Form XE8 from the CRA website. Additional details and guidelines can be found on the Canada Excise Gasoline Tax Refund 2024 form. For further details on this program, you may also contact the Gasoline Tax Refund Unit of the CRA at 1-877-432-5472. Check out this website to learn How to Claim Excise Gasoline Tax Refund as I provide you with updates on Who is Eligible for Gasoline Tax Refund in Canada.

Excise Gasoline Tax Refund- Meaning

For people with physical disabilities and registered charities, there is a little-known advantage that is available: a refund of gasoline excise tax. This refund is based on the Federal Excise Gasoline Tax Refund Program, which is authorized under Excise Tax Act paragraph 68.16(1). For every liter of gasoline purchased, the CRA reimburses 1.5¢; additionally, 1.5¢ is permitted for every ten kilometers driven. The fuel has to be bought “for the sole use of the purchaser and not for resale.”

Any Canadian amateur athletic association or recognized charity is eligible for the Canada Excise Gasoline Tax Refund 2024. It can also be obtained by an individual who has received certification from a licensed medical professional that they have a persistent impairment of movement to the extent that it would be unsafe for them to use public transit.

Excise Gasoline Tax Refund- Highlights

Refund Program Excise Gasoline Tax Refund
Department Name CRA
Government Canadian Government
Country Canada
Category Government Aid
Claim Form Form XE8
Official Website Canada.ca

Eligibility for Excise Gasoline Tax Refund

For the applicant to be qualified for the Excise Gasoline Tax Refund, they must fall into one of the two categories.

To claim the Disability Tax Credit (DTC), you must be approved.
A certified mobility constraint exists for a medical professional.

How a person can Claim Excise Gasoline Tax Refund?

Form XE8 can be filled out on the official website to claim your refund of excise gasoline tax. Depending on which alternative is more practicable for them, those who meet the conditions may be eligible to get a refund for a portion of the fuel tax they paid, at the rate of CAD 0.015 per liter OR CAD 0.0015 per kilometer. The claimant has the final say in the process that is employed. In the event that the claimant drives a gas-guzzler, using the liter rate technique will be more advantageous.

If you drive a small, economical three-cylinder vehicle, the kilometer rate method will provide a higher payout. The kilometer rate technique is also intended for nonprofits and amateur sports groups whose employees must drive their own vehicles for work and are compensated by the company depending on the number of kilometers driven.

When a person can Fill Form XE8?

The timing and frequency of claim submissions are restricted. If the refund is less than $200, a claim may be made for each six-month period that ends on June 30 or December 31. Within one month of the six-month period ending, the claim must be lodged. If the refund is $200 or more, the claim can be submitted at any time of the year, but it should only be done once each month, tops.

Claimants are required to retain documents such as gas receipts, invoices, vouchers, and confirmation-of-use statements for a period of six years after the date of purchase. Although the supporting documents are not required to be supplied with the application, the claimant should keep them on file in case the CRA requests them. To verify the claim, the CRA requires readable documents with adequate information. Estimates without accompanying documentation will not be accepted.

How to Apply for Excise Gasoline Tax Refund

You can electronically submit your Excise Gasoline Tax Refund Application Form through My Business Account. It’s quick, simple, and secure. To register, go to canada.ca/my-cra-business-account.
Are you a representative who does not dwell in the United States and is based in Canada? To use My Business Account features, register as a client using Represent a Client. To register, go to canada.ca/taxes-representatives.

 

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