Form 72A303, Election Application/Cancellation Form, is used by eligible motor fuel dealers to make or cancel an election for exemption from certain requirements under Kentucky motor fuels tax rules. The form allows a dealer to notify the Department of Revenue of the decision to begin or end an exemption election for gasoline dealer or special fuels dealer activities.
The exemption election is made annually and applies for a calendar year. Once an election is made, it continues into the following calendar year unless the dealer notifies the Department of Revenue of the intention to cancel the election by January 15 of that year.
Dealers who choose the exemption option must follow additional requirements, including providing a financial instrument, certifying monthly tax amounts, and making electronic tax payments. Failure to complete required certifications or electronic fund transfers may allow the Department of Revenue to make a claim against the financial instrument and revoke the dealer’s license.
How To File Form 72A303
Complete Form 72A303 when applying for a new exemption election or cancelling an existing election. The form should be completed with the dealer’s business information, applicable license number, election choice, and authorized signature.
Before completing the form, gather the following information:
- Business legal name.
- Mailing address.
- City, state, and ZIP code.
- Federal ID number.
- Gasoline dealer’s license number, if applicable.
- Special fuels dealer’s license number, if applicable.
- Authorized owner, partner, or corporate officer information.
The completed form must be mailed to:
Kentucky Department of Revenue
Motor Fuels Tax Compliance Section
P.O. Box 1303, Station 63
Frankfort, KY 40602-1303
How To Complete Form 72A303
Business Information Section
The top portion of the form identifies the dealer requesting the exemption election or cancellation.
Name of Business
Enter the legal name of the business making the election or cancellation request.
Mailing Address
Enter the complete mailing address where correspondence for the business should be sent.
City
Enter the city associated with the business mailing address.
State
Enter the state for the business mailing address.
ZIP Code
Enter the ZIP code for the business mailing address.
Federal ID Number
Enter the federal identification number assigned to the business.
Election Requirements
Annual Election Requirement
An exemption election must be made each year and applies only to the calendar year for which it is elected.
Continuation Of Election
After the end of the calendar year, the exemption election automatically continues for the next calendar year unless the dealer notifies the Department of Revenue by January 15 that the election should be cancelled.
Cancellation Effect
If the dealer cancels the exemption election, the standard requirements under KRS 138.330 immediately apply.
Financial Instrument Requirement
A dealer electing exemption must provide a financial instrument. The amount cannot exceed two months of estimated liability as calculated by the Department of Revenue or $5,000, whichever amount is greater.
Monthly Tax Certification Requirement
The dealer must certify to the Department of Revenue, no later than the 15th day of each month, the amount of gasoline and special fuels tax due to the Commonwealth by the 25th day of that month.
Electronic Submission Requirement
The monthly certification must be submitted electronically through a method acceptable to both the dealer and the Department of Revenue.
Electronic Tax Payment Requirement
By certifying the tax amount due, the dealer agrees to initiate an Automated Clearing House (ACH) credit transaction to electronically transfer the tax payment from the dealer’s account to the Kentucky State Treasurer on the 25th day of the month.
Failure To Comply
If the dealer does not certify the tax amount or does not complete the electronic fund transfer, the Department of Revenue may immediately make a claim against the financial instrument and revoke the dealer’s license.
License Election Section
Gasoline Dealer Election
Gasoline Dealer’s License Number
Enter the gasoline dealer license number associated with the election request.
Begin Election
Select this option if the dealer wants to begin the exemption election effective January 1 of the next calendar year.
Cancel Election
Select this option if the dealer wants to cancel the exemption election effective January 1 of the next calendar year.
Special Fuels Dealer Election
Special Fuels Dealer’s License Number
Enter the special fuels dealer license number associated with the election request.
Begin Election
Select this option if the dealer wants to begin the exemption election for the next calendar year.
Cancel Election
Select this option if the dealer wants to cancel the exemption election effective January 1 of the next calendar year.
Signature Section
Signature
The form must be signed by an authorized owner, partner, or corporate officer confirming the accuracy of the election or cancellation request.
Date
Enter the date the authorized individual signs the form.
Final Review Before Filing
Before submitting Form 72A303, confirm that:
- The business name is correct.
- The mailing address is complete.
- The federal ID number is entered correctly.
- The correct dealer license number is provided.
- The appropriate election or cancellation box is selected.
- The requested effective date is understood as January 1 of the next calendar year.
- Any required financial instrument has been prepared.
- The authorized owner, partner, or corporate officer has signed the form.
- The signature date is included.
- The form is mailed to the Kentucky Department of Revenue Motor Fuels Tax Compliance Section.
A properly completed Form 72A303 ensures that the dealer’s exemption election status is correctly recorded with the Kentucky Department of Revenue.