It depends on where you live, but a lot of large US cities have their own fueling stations. That way, the city can buy fuel by the tanker load and avoid gas taxes.
“Like-for-like.” I work in state government. Time ago we needed to get some video equipment so had to contract with a vendor to acquire it. They literally just bought it from B&H and sold it back to us.
Maybe. But in that case they would be exempt at a normal pump as well. Gas station by my house accept tax exempt transactions for the cemetery my family maintains.
It depends on where you live, but a lot of large US cities have their own fueling stations. That way, the city can buy fuel by the tanker load and avoid gas taxes.
Not likely to avoid tax, more to get discount rate on bulk purchase.
If its government going through a vendor they are likely paying more than market rate.
More than market rate for a tanker load. They’ll pay more for gas than the local gas station will, but still less than the gas station charges.
For a like-for-like product or a different service entirely?
“Like-for-like.” I work in state government. Time ago we needed to get some video equipment so had to contract with a vendor to acquire it. They literally just bought it from B&H and sold it back to us.
Still pay taxes even by the tanker. Can still get a lower price but fuel taxes are fuel taxes doesn’t really matter how you buy it.
Surely a public entity would be exempt from taxes, no?
Maybe. But in that case they would be exempt at a normal pump as well. Gas station by my house accept tax exempt transactions for the cemetery my family maintains.