Crop Care Applicators, Inc. - Page 11




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          owner, operator, or tenant waives the right to be treated as the            
          user and ultimate purchaser of the gasoline.  See  Pub. L. 97-424,          
          sec. 511(f), 96 Stat. 2172; H. Rept. 97-945 at 2, 1983-1 C.B. 421.          
               The legislative history of section 6420 establishes that the           
          requirement that applicators obtain waivers from their farm                 
          customers was not designed solely to ensure that two taxpayers              
          would not claim entitlement to a tax credit for the same fuel.              
          The requirement appears also to have been designed to ensure that           
          farmers are knowledgeable about their entitlement to the fuel tax           
          credit.                                                                     
               The waiver requirement, therefore, relates to the essence of           
          the statute.  To extend the credit to applicators without strict            
          compliance to the waiver requirement would defeat the policies              
          underlying the statutory provision.                                         
               It does not appear that anyone will receive the benefit of             
          the section 34(a)(1) credit for the gasoline used by petitioner             
          during the years at issue.  Although we are sympathetic to                  
          petitioner’s situation, we are constrained by and cannot disregard          
          the plain language of the statute and the detailed requirements of          
          the legislative regulation in order to achieve what would appear            
          to be a more equitable result in this case.  Accordingly,                   
          petitioner is not entitled to credit for Federal tax on fuels.              










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Last modified: May 25, 2011