Is the tire fee applicable if a dealer purchases new tires for resale without the payment of the fee and subsequently withdraws the tires from inventory for his own use? Yes. The dealer must remit the fee for the tires on his own tax return. March 21, 2016 09:01 Related articles How does the law define items subject to the used oil collection fee? What is the purpose of the used oil tax? Are new tires sold to new or used automobile dealerships subject to the tire fee?