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 WASHINGTON (AP) - The Internal Revenue Service acted Friday to expand the nationwide supply of diesel fuel by letting more vehicles use fuel intended for farm equipment and government vehicles.
The action allows commercial trucks and other vehicles to use special dyed diesel without paying a penalty excise tax. The dyed diesel fuel is used by farm, government and some off-road equipment, ordinarily not subject to federal excise taxes.
"Today's action is a relatively simple and straightforward step that will immediately increase the available supply of diesel fuel nationwide, which is especially needed in Gulf Coast relief efforts," said Treasury Secretary John Snow.
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