Bill Text: CA AB1442 | 2015-2016 | Regular Session | Amended
Bill Title: Motor vehicle fuel: gasohol.
Spectrum: Bipartisan Bill
Status: (Failed) 2016-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1442 Detail]
Download: California-2015-AB1442-Amended.html
BILL NUMBER: AB 1442 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 11, 2015
AMENDED IN ASSEMBLY MAY 5, 2015
INTRODUCED BY Assembly Members O'Donnell and Brough
FEBRUARY 27, 2015
An act to amend Sections 7318 and 8651.8 of, and to add Section
8623 to, the Revenue and Taxation Code, relating to taxation, to take
effect immediately, tax levy.
LEGISLATIVE COUNSEL'S DIGEST
AB 1442, as amended, O'Donnell. Motor vehicle fuel: gasohol.
Existing law, the Motor Vehicle Fuel Tax Law, imposes a tax upon
the privilege of distributing motor fuel and defines the term
"gasohol" for purposes of that law. Gasohol is defined as all blends
of gasoline and alcohol containing more than 15% gasoline.
This bill would redefine gasohol to instead mean all blends of
gasoline and alcohol containing more than 21% or a percentage
determined by regulations adopted by the State Board of Equalization,
as specified.
Existing law, the Use Fuel Tax Law, imposes an excise tax for the
use of fuel, as defined, and requires that the excise tax imposed
upon ethanol or methanol containing not more than 15% gasoline or
diesel fuels be 1/2 of that rate. That law provides for refunds for
certain overpayments of tax within a specified time period.
This bill, beginning on and after January 1, 2013,
bill would instead apply that discounted rate to
ethanol or methanol containing not more than 21% gasoline, blended
ethanol fuel, as defined, or diesel fuels.
This bill would take effect immediately as a tax levy.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 7318 of the Revenue and Taxation Code is
amended to read:
7318. "Gasohol" means all blends of gasoline and alcohol
containing more than 21 percent gasoline, or a percentage adopted by
board regulation as specified in Section 8623.
SEC. 2. Section 8623 is added to the Revenue and Taxation Code, to
read:
8623. "Blended ethanol fuel" is defined as a fuel blend
consisting of ethanol and gasoline that meets one of the following
requirements:
(a) Contains not more than 21 percent gasoline.
(b) Contains not more than a percentage of gasoline, as specified
by board regulation, that is consistent with the E-85 Fuel Ethanol
Specifications of Section 2292.4 of Title 13 of the California Code
of Regulations.
SEC. 3. Section 8651.8 of the Revenue and Taxation Code is amended
to read:
8651.8. (a) (1)
Notwithstanding Section 8651, the excise tax imposed upon ethanol or
methanol containing not more than 15 21
percent gasoline gasoline, blended ethanol
fuel, or diesel fuels shall be one-half the rate prescribed by
Section 8651 for each gallon of fuel used.
(2) This subdivision shall only apply to ethanol, methanol, or
diesel fuels sold before January 1, 2013.
(b) All references in this code to Section 8651 shall be deemed,
with respect to the rate imposed upon blended ethanol fuel, ethanol,
or methanol, to also refer to this section.
(c) Notwithstanding Section 8651, on or after January 1, 2013, the
excise tax imposed on ethanol or methanol containing not more than
21 percent gasoline, blended ethanol fuel, or diesel fuels shall be
one-half the rate prescribed by Section 8651 for each gallon of fuel
used.
SEC. 4. The Legislature finds and declares that
this act serves a public purpose and does not constitute a gift of
public funds within the meaning of Section 6 of Article XVI of the
California Constitution.
SEC. 5. SEC. 4. This act provides
for a tax levy within the meaning of Article IV of the Constitution
and shall go into immediate effect.
