Frequently Asked Questions about the export of gasoline products — Fuel Tax and Gasoline Tax
I am a designated collector who exports bulk sales of fuel and gasoline to the United States. Can I sell or deliver fuel or gasoline to the exporter without collecting any taxes?
- Can sell or deliver product to another designated collector, who is not a consumer, without collecting the fuel or gasoline tax.
- Cannot sell untaxed fuel to fuel exporters who are not designated collectors.
If, however, you are a designated collector making bulk sales of product to a registered exporter who intends to export immediately to the United States, you can sell the product without tax as long as:
- the designated collector is registered with the Ministry of Finance as an exporter
- the designated collector reports all such sales as exports on its monthly return
- the actual exporter of the product holds a valid exporter's certificate or registration issued by the Ministry of Finance
- an invoice containing all of the information required by the ministry is delivered to the exporter at the time of sale
- all export documents required by the ministry are obtained by the collector
- the designated collector assumes responsibility for the tax until the ministry is satisfied that the product has been exported from Ontario, and
- the person to whom the exporter sells the product is not a Canadian resident.
Every invoice issued by a collector to an exporter who intends to export bulk fuel immediately to the United States must show:
- the names and addresses of the collector and the exporter
- the collector's registration or account number
- the exporter's certificate or registration number (registration as an interjurisdictional transporter is not sufficient)
- the selling price per litre of the fuel
- the amount of fuel tax charged, or a statement indicating that Ontario fuel taxes have not been charged
- the quantity of fuel sold
- the date of the fuel sale and delivery
- the location where title to the fuel changed from the collector to the fuel exporter.
Documents to keep
As a designated collector, you are responsible for obtaining and storing the following documents to prove the exported product was delivered to a location outside Ontario:
- invoices issued by the collector for export sales (invoices must include a statement to the effect that Ontario fuel taxes have not been charged; otherwise, the taxes must be explicitly identified)
- a copy of the United States Customs Proforma Invoice prepared by a Canadian customs broker and stamped by the United States Customs Service
- United States Customs Document Form 7533 or its equivalent as approved by the Minister
- all petroleum loading tickets and survey reports
- a copy of a properly completed straight bill of lading
- all export sales invoices issued by the exporter.