President Donald Trump signed an executive order Monday that is intended to help bring down sky-high diesel prices by allowing anyone to purchase tax-exempt “red dye” diesel.
\n\n“Tonight I’m going to sign a historic executive order to officially waive the off-road requirement and allow anyone to purchase tax-free red dye diesel for any reason,” Trump said at a rally in Nebraska after he told the audience he didn’t “know what the hell” red dye diesel is.
\n\nTaxes on diesel are based on how it is used. Road diesel meant for long-distance transport is subject to federal and state taxes. But diesel intended for farm vehicles and machinery is typically tax-free and dyed red, so regulators and inspectors can tell it apart from road diesel.
\n\nA White House fact sheet about the order said Trump has directed the secretaries of transportation, agriculture, defense and the Treasury to work on expanding access to tax-exempt diesel and encouraging states to suspend their diesel taxes.
\n\nDiesel fuel prices have spiked because of the war in Iran, but dyed diesel fuel is cheaper because it’s exempt from federal and state excise taxes.
\n\nTrump said the order will save typical truckers more than $100 every time…
Original source: https://www.nbcnews.com/