This week is the one year anniversary of DieselGreen Fuels. After a year of trying to work in a cooperative environment with a dozen or so others, it became clear that the non-profit coop was not meant to be. This time last year, we spent a weekend in Denver hearing for the first time that many others had found the same path just as difficult, and would ultimately disband or turn into real businesses. This latter route is the direction we took, forming an LLC between myself, Elizabeth Patrick, and Michael Mullins.The past year has been a real rollercoaster ride - working nights and weekends while friends are out having fun; missing time with our significant others; learning the ropes of running a business; getting licenses for the various business activities we are working towards. The first few months were spent trying to figure out what all we were going to do, and we have settled on the following: The next several months were spent getting licenses: The past six months have been us getting our first major customer (Eco-Wise) and taking our collection and delivery process through several generations into our current system of “suction, settling, centrifuge” for oil collection. We’ve also taken on two interns, Adam and Matt, who we hope will help us build our restaurant clientele to the point where Michael can work full time starting in September. I hope to update this blog regularly to include news about the business, thoughts on the industry, and offer a place for others to comment. Jason Burroughs
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3 responses so far ↓
Hi. Just how much trouble is the IRS registration for fuel taxes? Can you recommend a weblink to learn more?
Thanks
Hi Chris,
It’s really not so bad. You have to fill out the form 637 to register as a blender (activity code M). Once they approve your registration, you file form 720 each quarter to report fuel sales that you owe tax on. You pay the tax (24.4 cents per gallon for on-road use) and take the credit (50 cents per gallon for WVO sold as a fuel - categorized as “liquid hydrocarbons from biomass).
Just expect the IRS not to really understand the vegetable oil fuel thing. You may get passed around from person to person, don’t let that throw you off.
good luck!
Jason
Jason,
I live in a small town (less than 1000) people in North Texas and my boss is interested in producing biodiesel locally for farmers. So far we have the app for the texas renderers license and the operators rendering license. What would be our next step in permits and can you recommend a contact to help me with the process. Thanks and congrats on all your success.