Claiming fuel tax credits for fuel used to power passenger air conditioning units
From 1 November 2019, you must claim fuel tax credits for fuel used to power passenger air conditioning units (for example in commercial buses and coaches) at the rate for ‘heavy vehicles for travelling on public roads’.
This rate is reduced by the road user charge (RUC).
When you claim fuel tax credits for fuel used in passenger air conditioning of a bus or coach, for fuel acquired:
- before 1 November 2019, you can use the ‘all other business uses’ rate
- from 1 November 2019, you must use the fuel tax credit rate ‘for heavy vehicles for travelling on public roads’.
This change is a result of the decision in Linfox Australia Pty Ltd v Commissioner of Taxation.
