Bill Text: MI HB4305 | 2013-2014 | 97th Legislature | Introduced

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Bill Title: Transportation; motor fuel tax; deductions for remitting fuel tax by suppliers; eliminate after October 1, 2013. Amends secs. 14, 82 & 87 of 2000 PA 403 (MCL 207.1014 et seq.).

Spectrum: Partisan Bill (Democrat 6-0)

Status: (Introduced - Dead) 2013-02-26 - Printed Bill Filed 02/22/2013 [HB4305 Detail]

Download: Michigan-2013-HB4305-Introduced.html

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HOUSE BILL No. 4305

 

February 21, 2013, Introduced by Reps. McCann, Ananich, Slavens, Irwin, Cavanagh and Townsend and referred to the Committee on Transportation and Infrastructure.

 

     A bill to amend 2000 PA 403, entitled

 

"Motor fuel tax act,"

 

by amending sections 14, 82, and 87 (MCL 207.1014, 207.1082, and

 

207.1087).

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 14. (1) The department may require a supplier required to

 

remit tax under this act to remit the tax by an electronic funds

 

transfer acceptable to the department. The remittance shall be made

 

on or before the date the tax is due.

 

     (2) In Until October 1, 2013, in computing the tax, a supplier

 

may deduct 1.5% of the quantity of gasoline removed by the supplier

 

to allow for the cost of remitting the tax. This deduction is not

 

allowed for the quantity of gasoline removed by the supplier and

 

sold tax-free. At the time of filing the report and paying the tax,

 

the supplier shall submit satisfactory evidence to the department

 

that the amount of tax represented by the deduction was paid or

 

credited to the supplier or wholesaler who purchased the gasoline

 

from the supplier or wholesaler. The amount of the deduction shall

 

be paid or credited by each supplier or wholesaler to the purchaser

 

at each subsequent sale to a wholesaler. When a wholesaler or

 

supplier sells gasoline to a retailer, the wholesaler or supplier

 

shall pay or credit to the retailer 1/3 of the deduction on

 

quantities sold to that retailer. A supplier shall not take a

 

deduction under this subsection on or after October 1, 2013.

 

     Sec. 82. (1) A person shall not import into this state motor

 

fuel acquired from a bulk plant in another state by a tank wagon

 

unless licensed as a tank wagon operator-importer under this act.

 

     (2) Licensure as a tank wagon operator-importer under this act

 

is not authorization to acquire nonexempt motor fuel free of the

 

tax imposed by this act at a terminal either within this state or

 

outside of this state for direct delivery to a location within this

 

state.

 

     (3) A person who is licensed as an importer under section 76

 

may operate as a tank wagon operator-importer without the license

 

required by this section if the person also operates 1 or more bulk

 

plants outside of this state.

 

     (4) The fee for a tank wagon operator-importer license is

 

$50.00.

 

     (5) A tank wagon operator-importer shall file with the

 

department a quarterly report of operations within this state and

 

any other information concerning the source state and the method of

 

transportation of motor fuel as the department may require on forms

 

or in a format prescribed by the department. A person who knowingly

 

violates or knowingly aids and abets another to violate this

 

subsection is guilty of a misdemeanor.

 

     (6) A tank wagon operator-importer shall report the total

 

number of gallons of motor fuel imported but shall take a deduction

 

against motor fuel shown on its quarterly report for the number of

 

gallons of dyed diesel fuel that were removed from a terminal or

 

refinery destined for delivery to a point in this state as shown on

 

the shipping paper.

 

     (7) A tank wagon operator-importer who is liable for the tax

 

imposed by this act on nonexempt motor fuel imported by a tank

 

wagon on which tax has not previously been paid to a supplier,

 

shall remit the tax for a particular quarter's import activities

 

with its quarterly report of activities on or before the twentieth

 

day of the month following the close of the reporting period.

 

     (8) A licensed tank wagon operator-importer may retain the

 

collection administration allowance provided for in section 14 for

 

taxes remitted before October 1, 2013.

 

     Sec. 87. (1) If an exporter diverts motor fuel removed from a

 

terminal in this state from an intended destination outside this

 

state as shown on the terminal-issued shipping papers to a

 

destination within this state, the exporter shall obtain a fuel

 

diversion number and pay to the department the tax imposed on that

 

motor fuel by section 8.

 

     (2) An exporter required to pay tax under this section shall

 

provide notice and pay the tax upon the same terms and conditions

 

as if the exporter were an occasional importer licensed under

 

section 76 without deduction for the allowances provided by section

 

14.

 

     (3) For purposes of this section, an exporter who has

 

purchased motor fuel from a licensed supplier may enter into an

 

agreement with the supplier to permit the supplier to assume the

 

exporter's liability and adjust the exporter's taxes that are

 

payable to the supplier. The supplier shall provide a copy of the

 

agreement to the department at the time the supplier files its

 

monthly report. The At a minimum, the agreement shall include at a

 

minimum all of the following information:

 

     (a) The names of the parties to the agreement.

 

     (b) The date the agreement was entered into.

 

     (c) The type of motor fuel involved.

 

     (d) The number of gallons of motor fuel involved.

 

     (4) If an exporter withdraws and exports from a bulk plant in

 

this state motor fuel as to which the tax imposed by this act has

 

previously been paid or accrued, the exporter may apply for and the

 

this state shall issue a refund of the tax upon a showing of proof

 

of export and payment of the tax satisfactory to the department.

 

     (5) If a diversion from a destination in this state to another

 

state does not violate state or federal law, the diversion relief

 

provisions set forth in section 108 shall apply, and an unlicensed

 

exporter diverting the product may apply for a refund from the

 

department as provided in this act. The allowance provided for in

 

section 14 shall be deducted from the refund allowed under this

 

subsection for taxes remitted before October 1, 2013. An allowance

 

shall not be deducted for taxes remitted on or after October 1,

 

2013.

 

     (6) A licensee required to file a report under this act may

 

take a credit for diversions directed by that licensee for its own

 

account.