TAX EXEMPTION GUIDELINES FOR STATE AGENCIES
The LUST tax was originally scheduled to expire when the trust fund reached $500 million. In fact, this threshold was reached and the LUST tax did expire at the end of August, 1990. However, the LUST tax was reinstated beginning in December, 1990. As with other federal taxes on fuels, state agencies are exempt from payment of the LUST tax. ................
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