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N.Y. Tax Law Puts Farmers In Diesel Dilemma Print E-mail
Written by Rob Howard   
Thursday, 17 July 2008

Rising gas prices are affecting pretty much everyone these days, and farmers are no different. But farmers in New York, the Schenectady Gazette reported last weekend, are in more of a bind because of a state tax law that makes them seek reimbursement for taxes on fuel.

The Gazette reported that while farmers in New York are generally exempt from taxes on goods for their operations like diesel fuel and feed for animals, EPA’s 2007 rule forcing farmers to use clean diesel means they pay taxes on their fuel and then seek reimbursement. One farmer interviewed for the piece, who said he can spend up to $30,000 per month on diesel, told the Gazette it took him some four months to get reimbursed. Not that it's really a parallel, but it took us a good three months to get our economic stimulus check from the feds.

New York lawmakers tried on several occasions to amend the tax code last year, but none were successful.

And today, the Southeast Missourian and the AP wrote about how farmers are adapting to higher diesel costs in the Midwest. The paper saw more farmers using electricity to power irrigation equipment, which uses less energy and costs less than diesel.

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Copyright (C) 2007 Alain Georgette / Copyright (C) 2006 Frantisek Hliva. All rights reserved.

 
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