FAQs for Indian Tribal Governments regarding Credits/Refunds on Excise Taxes


These frequently asked questions and answers are provided for general information only and should not be cited as any type of legal authority. They are designed to provide the user with information required to respond to general inquiries. Due to the uniqueness and complexities of Indian law and Federal tax law, it is imperative to ensure a full understanding of the specific question presented, and to perform the requisite research to ensure a correct response is provided.

When may an Indian tribe receive a credit or refund for excise tax on fuel? (updated June 2, 2023)

A credit or refund may be allowed for the excise tax on fuel used by a state or local government. The fuel must be purchased by the state or local government for its exclusive use. A state or local government is any state, any political subdivision thereof, or the District of Columbia. An Indian tribal government is treated as a state only if the fuel is used in an activity that involves the exercise of an essential tribal government function.​​​​​