Bill Text: MI HB5118 | 2011-2012 | 96th Legislature | Introduced
Bill Title: Transportation; motor fuel tax; deductions for remitting fuel tax by suppliers; eliminate after October 1, 2012. Amends secs. 14, 82 & 87 of 2000 PA 403 (MCL 207.1014 et seq.).
Spectrum: Partisan Bill (Democrat 9-0)
Status: (Introduced - Dead) 2011-10-26 - Printed Bill Filed 10/26/2011 [HB5118 Detail]
Download: Michigan-2011-HB5118-Introduced.html
HOUSE BILL No. 5118
October 25, 2011, Introduced by Reps. Ananich, Smiley, Meadows, Hammel, Cavanagh, Irwin, Townsend, Talabi and McCann and referred to the Committee on Transportation.
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, 2012,
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, 2012.
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, 2012.
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 agreement shall include at a minimum 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
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, 2012. An allowance
shall not be deducted for taxes remitted on or after October 1,
2012.
(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.
