SENATE, No. 1865

STATE OF NEW JERSEY

216th LEGISLATURE

 

INTRODUCED MARCH 17, 2014

 


 

Sponsored by:

Senator  RAYMOND J. LESNIAK

District 20 (Union)

 

 

 

 

SYNOPSIS

     Increases motor fuels tax five cents per year for three years.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning the motor fuels tax and amending P.L.2010, c.22.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Section 3 of P.L.2010, c.22 (C.54:39-103) is amended to read as follows:

     3.    a.  A tax is imposed on fuel used or consumed in this State as follows:

     (1)   Motor fuel:

     (a)   at the rate of 10.5 cents per gallon in each State fiscal year through the State fiscal year beginning on July 1, 2013; at the rate of 15.5 cents per gallon for the State fiscal year beginning on July 1, 2014; at the rate of 20.5 cents per gallon for the State fiscal year beginning July 1, 2015; and at the rate of 25.5 cents per gallon for the State fiscal year beginning July 1, 2016, and each State fiscal year thereafter for:

            gasoline and

            blended fuel that contains gasoline or that is intended for use as gasoline;

     (b)   at the rate of 13.5 cents per gallon in each State fiscal year through the State fiscal year beginning on July 1, 2013; at the rate of 18.5 cents per gallon for the State fiscal year beginning on July 1, 2014; at the rate of 23.5 cents per gallon for the State fiscal year beginning July 1, 2015; and at the rate of 28.5 cents per gallon for the State fiscal year beginning July 1, 2016, and each State fiscal year thereafter for:

            diesel fuel,

            blended fuel that contains diesel fuel or that is intended for use as diesel fuel, and kerosene;

     (2)   Liquefied Petroleum Gas:

            at the rate of one-half of the tax imposed under subsection a. of this section on gasoline[, or 5.25 cents per gallon];

     (3)   Aviation gasoline:

            at the rate of 10.5 cents per gallon.

     b.    In addition to the tax, if any, imposed pursuant to subsection a. of this section a tax is imposed on aviation fuel for distribution to a general aviation airport at the rate of 2 cents per gallon.

     c.    The taxes imposed by this section are imposed on the consumer, but shall be precollected pursuant to the terms of the "Motor Fuel Tax Act," P.L.2010, c.22 (C.54:39-101 et seq.), for the facility and convenience of the consumer.

(cf: P.L.2010, c.79, s.2)


     2.    This act shall take effect immediately.

 

 

STATEMENT

 

     This bill increases the tax on motor fuels.  The amount of the increase in the motor fuels tax is five cents per gallon in each of the State fiscal years 2015 through 2017.  The tax on gasoline and blended fuel containing gasoline increases from 10.5 cents per gallon to 25.5 cents per gallon.  The tax on diesel fuel and blended fuel containing diesel increases from 13.5 cents per gallon to 28.5 cents per gallon over the three year period.  The rate on liquefied petroleum gas is half of the rate on gasoline and would increase from 5.25 cents per gallon to 12.75 cents per gallon over the three year period.