The Ontario Ministry of Finance has updated their bulletin on “Coloured Fuel”. This is fuel that can be purchased exempt from Ontario fuel tax, and contains a specific type and quantity of red dye. The fuel cannot be used in a licensed road vehicle, or any other motor vehicle or vessel that is used principally for pleasure or recreation. It may, however, be used:
The bulletin provides information on:
The bulletin also provides information on the purchase of fuel coloured in other jurisdictions, where it is considered unauthorized and subject to Ontario’s fuel tax. An exception to this rule is that a reciprocal agreement between Ontario and Quebec allows fuel coloured in Quebec to be used in Ontario for exempt purposes.
Finally, this bulletin provides details on the Ministry’s authorization to conduct roadside inspections of licensed motor vehicles, and the issuance of penalties and fines under the Provincial Offences Act or Fuel Tax Act.