Onsite Fuel USA Educates Customers on the Benefits of Off-Road Diesel and Tax Advantages

March 27, 2025 – Nationwide – As fuel costs continue to fluctuate, businesses in construction, farming, and other heavy-duty industries are turning to off-road diesel as a way to cut costs. Onsite Fuel USA (www.onsitefuelusa.com), a leading provider of fuel delivery services, is helping customers understand when off-road diesel is a viable option and the tax advantages it can offer.

When Can You Use Off-Road Diesel and When Can’t You?

Off-road diesel, also known as red diesel due to its distinctive dye, is primarily used for non-highway vehicles and equipment. This type of diesel is not subject to the same taxes as on-road diesel, making it an attractive option for many industries.

Here’s when you can use off-road diesel:

  • Construction Equipment: Any equipment used for construction purposes, such as bulldozers, backhoes, and excavators, can run on off-road diesel.
  • Agricultural Machinery: Tractors, harvesters, and other farming vehicles used exclusively off the road can benefit from off-road diesel.
  • Generators: Off-road diesel is commonly used for generators that are not intended for on-road use, especially in remote locations.
  • Mining and Oil Operations: Large machinery in mining and other off-road industries can use this type of fuel.

However, off-road diesel cannot be used in on-road vehicles, including cars, trucks, and any other motor vehicles that travel on public roads. If off-road diesel is found in on-road vehicles, it can result in hefty fines and penalties.

Tax Advantages of Off-Road Diesel

One of the most compelling reasons to use off-road diesel is the tax savings it offers. Off-road diesel is exempt from the federal excise tax that is imposed on on-road diesel fuel, which can result in significant savings for businesses.

  • Federal Excise Tax Savings: On-road diesel is subject to a federal excise tax of 24.4 cents per gallon. Off-road diesel is typically exempt from this tax, saving you money on every gallon used.
  • State Tax Savings: Many states also offer tax exemptions for off-road diesel, which can result in even greater savings for your business.
  • Lower Operating Costs: By using off-road diesel for qualifying equipment, businesses can lower their overall fuel costs and reinvest those savings into other areas of their operations.

John Arwood, CEO of Onsite Fuel USA, emphasizes the impact these savings can have on businesses. “Using off-road diesel can significantly reduce operating costs for businesses in the construction, agriculture, and industrial sectors,” says Arwood. “It’s an easy way to cut fuel costs without sacrificing performance, and we’re here to ensure that our customers understand both the legal guidelines and the potential tax advantages.”

Onsite Fuel USA: Your Trusted Partner for Fuel Solutions

At Onsite Fuel USA, we pride ourselves on delivering high-quality fuel solutions to businesses across the nation. Our team of experts is available to help you navigate the use of off-road diesel and ensure that you’re maximizing your savings. We offer fast, reliable fuel delivery directly to your job sites, so you never have to worry about running out of fuel during critical work periods.

Contact Information

For more information about off-road diesel or to schedule a fuel delivery, please contact us at:
Phone: 855-713-6280
Email: [email protected]

Media Contact:
Jessica Williams
Public Relations Manager
Phone: 855-713-6280 ext. 402
Email: [email protected]