Reporting and Remitting the Fuel Tax – Retail Dealers (Retailers)
You are generally not required to file a fuel tax return or remit the fuel tax you collected if, in conformity with the Fuel Tax Act, you paid your supplier an amount equal to the tax when you acquired the fuel.
If you did not pay your supplier an amount equal to the tax, you must remit that amount to us and file a return by the 15th day of the month following the month in which the retail sale took place. The same applies if you bring fuel into Québec with the intention of selling it at retail or if the amount of fuel tax you collected is higher than the amount you remitted to your supplier as an amount equal to the tax.
If the amount equal to the fuel tax you paid as a retail dealer when you purchased fuel is greater than the fuel tax you collected when you sold the fuel at retail, you can claim a refund of the amount equal to the fuel tax that you overpaid using form CA-21.LM-V, Fuel Tax Refund Application for Retail Dealers.
If you use a different fuel measuring system than your supplier (for example, if you calculate the volume of the fuel sold and delivered at the ambient temperature, whereas your supplier calculates the volume using a reference temperature of 15° C), the amount equal to the fuel tax you paid your supplier may be different from the amount collected when you sell the fuel at retail. In that case, you must file a report with us every three months using form CAZ-13-V.
If the quantity of fuel you sell at retail is greater than the quantity purchased from your supplier, you must remit the fuel tax owing when you file form CAZ-13-V.
However, if the quantity of fuel you sell at retail is less than the quantity you purchased from your supplier, you can claim a refund of the amount equal to the fuel tax (the amount by which the amount you paid your supplier exceeds the fuel tax you collect). In this case, you must file form CAZ-13-V.
In order to complete form CAZ-13-V, you must know the applicable tax rates. See theTable of Fuel Tax Rates in Québec, by Region (CA-1-V).
Contact us if you have any questions about filing a return concerning the fuel tax you collected from consumers.
Service station on a reserve
If you are a retail dealer operating a service station situated on an Indian reserve or in an Indian settlement in Québec, you are not required to collect the fuel tax when selling fuel to Indians, band councils, tribal councils or band-empowered entities, provided certain requirements are met. However, you must file a monthly return. For more information, see Retail Dealers Situated on a Reserve.
Penalties and interest
To avoid being charged late-filing penalties, penalties for failing to file or interest, see the Remittance Schedules of the Fuel Tax for the payment deadlines.
If you failed to fulfill your fiscal obligations or filed an incomplete or inaccurate return, you can rectify your tax situation by filing a voluntary disclosure application. By doing so, you may be able to benefit from relief in respect of the penalties and interest prescribed under fiscal legislation.