26 U.S.C. § 6420 — Gasoline used on farms

(a) Gasoline. Unless subsection (g) applies, if gasoline is used on a farm for farming purposes, the Secretary^* must pay the ultimate purchaser, without interest, the gallons used multiplied by the section 4081 gasoline-tax rate on the purchase date.
(b) Claims. A person may file no more than one claim for gasoline used during that person’s subtitle A taxable year^*. The claim must be filed by the legal deadline for an income-tax overpayment claim for that year.
(c) Terms. (1) Farm use requires use in a trade or business^*, on a farm in the United States, and for farming purposes. (2) “Farm” includes stock^*, dairy, poultry, fruit, fur-bearing-animal, truck, plantation, ranch, nursery, range, greenhouse, similar agricultural^* or horticultural structure, and orchard. (3) Farming purposes include: (A) an owner, tenant, or operator cultivating soil or raising or harvesting agricultural or horticultural commodities, including managing livestock, bees, poultry, fur-bearing animals, and wildlife; (B) handling, drying, packing, grading, or storing an unmanufactured commodity, if the owner, tenant, or operator produced more than half of it during the claim period; (C) planting, cultivating, caring for, or cutting trees, or preparing them for market other than milling, as part of farming; and (D) operating, managing, conserving, improving, or maintaining the farm and its tools and equipment. (4) If someone other than the owner, tenant, or operator performs a use in paragraph (3)(A), the owner, tenant, or operator is treated as user and ultimate purchaser. But an aerial or other fertilizer or-substance applicator who is the ultimate purchaser is treated as the user instead. An aerial applicator’s direct flight between an airfield and one or more farms qualifies. (5) “Gasoline” has the section 4083(a) meaning; this section does not define it.
(d) Exempt sales and other payments. No payment is made for gasoline exempt from section 4081 tax. The payment is reduced by another payment under this section or refund under this title that the Secretary determines is payable to anyone for the same gasoline.
(e) Applicable law. (1) Law, including penalties, applying to section 4081 tax applies to these payments as if they were refunds of that tax, when consistent with this section. (2) To check a claim or payment, the Secretary has section 7602(a)(1)-(3) authority to examine books and witnesses as if the claimant were tax-liable. (3) Section 7504’s rule on fractional dollars does not apply.
(f) Regulations. The Secretary may regulate conditions for making payments, consistently with this section.
(g) Income-tax credit instead. (1) Payment under subsection (a) is made only to the United States or its agency or instrumentality, a State or political subdivision or their agency or instrumentality, or a section 501(a)-exempt organization that need not file a subtitle A return. (2) For an income-tax credit instead, see section 34.
(h) Repealed. This subsection was repealed by Pub. L. 103–66, title XIII, § 13241(f)(5), August 10, 1993.
(i) Cross-references. (1) Farm-use special-fuel exemption: section 4041(f). (2) Excessive-claim civil penalty: section 6675. (3) Fraud and related penalties: chapter 75, including section 7201 and following. (4) Indian tribal governments are treated as States, and their subdivisions as State political subdivisions: section 7871.