Rules & Regulations of the State of Tennessee
Title 1320 - Revenue
Subtitle 1320-07 - Petroleum Tax Division
Chapter 1320-07-04 - Exemption and Refund of Taxes on Petroleum Products
Section 1320-07-04-.05 - AGRICULTURAL USE

(1) A refund of all but one cent (1¢) per gallon of the gasoline tax paid on gasoline used or agricultural purposes may be secured if such use is properly documented. No refund may be made, however, of any part of the special tax. Pursuant to T.C.A. § 67-3-302, a refund may be made only on fuel purchased with the semi-annual period for which a claim is filed or on fuel purchased within the annual period if a claim for refund is filed on an annual basis. All persons claiming refund shall be the holder of a valid refund permit secured before the purchase of the gasoline on which refund is sought. All invoices supporting the claim must indicate that the gasoline had color added at the time of delivery.

(2) Sales of gasoline for agricultural purposes shall not be made from a customer controlled pump unless prior written approval is granted by the department. A person who has been granted this written approval shall also comply with the following:

(3) Any person found in violation of any law or rule relating to sales from a customer controlled pump shall lose the right to make sales from a customer controlled pump for a period of not less than two (2) years and be subject to all other penalties as outlined by T.C.A. §§ 67-3-301 through 67-3-313.

(4) When a person holding an Agricultural Refund permit fails to file a claim within any two-year period the permit shall be canceled. The holder of a permit which has been canceled for this reason may qualify for a permit at a future date in the same manner as if he had never qualified. The department shall notify, by mail, a holder of a permit which has been canceled that this action has been taken and that he shall be required to reapply for a permit if he desires to seek refunds in the future. This notice shall be directed to the last known mailing address of the permittee as shown on departmental records and this mailing shall be deemed to constitute sufficient notice to the permittee of the cancellation.