General Assembly Substitute Bill No. 355
February Session, 2012 *_____SB00355ENV___050312____*
General Assembly
Substitute Bill No. 355
February Session, 2012
*_____SB00355ENV___050312____*
AN ACT CONCERNING THE REVENUES FROM THE PETROLEUM PRODUCTS GROSS EARNINGS TAX AND PROVIDING AN ADDITIONAL EXEMPTION FROM SAID TAX.
Be it enacted by the Senate and House of Representatives in General Assembly convened:
Section 1. (NEW) (Effective July 1, 2012) For the fiscal year ending June 30, 2013, and annually thereafter, the Comptroller shall make available for the purposes of the underground storage tank petroleum clean-up program established under section 22a-449c of the general statutes, the amount collected in the immediately preceding fiscal year from the petroleum products gross earnings tax imposed pursuant to section 12-587 of the general statutes, as amended by this act, that is in excess of the amount for said tax contained in the revenue schedule supporting the budget for such preceding fiscal year.
Sec. 2. (NEW) (Effective July 1, 2012) There is established an account to be known as the "rail cars and rail yard account" which shall be a separate, nonlapsing account within the Special Transportation Fund. The following funds shall be deposited annually in the account: (1) Revenues collected for the petroleum products gross earnings tax imposed pursuant to section 12-587 of the general statutes, as amended by this act, in an amount equal to the annual amount budgeted for purchase of self-propelled rail cars and for the design and construction of rail maintenance facilities to support such cars, and (2) any other funds required by law to be deposited in the account. Moneys in the account shall be expended by the Commissioner of Transportation for the purposes of the purchase of self-propelled rail cars and for the design and construction of rail maintenance facilities to support such cars.
Sec. 3. Subsection (b) of section 12-587 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2012):
(b) (1) Except as otherwise provided in subdivision (2) of this subsection, any company which is engaged in the refining or distribution, or both, of petroleum products and which distributes such products in this state shall pay a quarterly tax on its gross earnings derived from the first sale of petroleum products within this state. Each company shall on or before the last day of the month next succeeding each quarterly period render to the commissioner a return on forms prescribed or furnished by the commissioner and signed by the person performing the duties of treasurer or an authorized agent or officer, including the amount of gross earnings derived from the first sale of petroleum products within this state for the quarterly period and such other facts as the commissioner may require for the purpose of making any computation required by this chapter. Except as otherwise provided in subdivision (3) of this subsection, the rate of tax shall be (A) five per cent with respect to calendar quarters prior to July 1, 2005; (B) five and eight-tenths per cent with respect to calendar quarters commencing on or after July 1, 2005, and prior to July 1, 2006; (C) six and three-tenths per cent with respect to calendar quarters commencing on or after July 1, 2006, and prior to July 1, 2007; (D) seven per cent with respect to calendar quarters commencing on or after July 1, 2007, and prior to July 1, 2013; and (E) eight and one-tenth per cent with respect to calendar quarters commencing on or after July 1, 2013.
(2) Gross earnings derived from the first sale of the following petroleum products within this state shall be exempt from tax: (A) Any petroleum products sold for exportation from this state for sale or use outside this state; (B) the product designated by the American Society for Testing and Materials as "Specification for Heating Oil D396-69", commonly known as number 2 heating oil, to be used exclusively for heating purposes or to be used in a commercial fishing vessel, which vessel qualifies for an exemption pursuant to section 12-412; (C) kerosene, commonly known as number 1 oil, to be used exclusively for heating purposes, provided delivery is of both number 1 and number 2 oil, and via a truck with a metered delivery ticket to a residential dwelling or to a centrally metered system serving a group of residential dwellings; (D) the product identified as propane gas, to be used exclusively for heating purposes; (E) bunker fuel oil, intermediate fuel, marine diesel oil and marine gas oil to be used in any vessel having a displacement exceeding four thousand dead weight tons; (F) for any first sale occurring prior to July 1, 2008, propane gas to be used as a fuel for a motor vehicle; (G) for any first sale occurring on or after July 1, 2002, grade number 6 fuel oil, as defined in regulations adopted pursuant to section 16a-22c, to be used exclusively by a company which, in accordance with census data contained in the Standard Industrial Classification Manual, United States Office of Management and Budget, 1987 edition, is included in code classifications 2000 to 3999, inclusive, or in Sector 31, 32 or 33 in the North American Industrial Classification System United States Manual, United States Office of Management and Budget, 1997 edition; (H) for any first sale occurring on or after July 1, 2002, number 2 heating oil to be used exclusively in a vessel primarily engaged in interstate commerce, which vessel qualifies for an exemption under section 12-412; (I) for any first sale occurring on or after July 1, 2000, paraffin or microcrystalline waxes; (J) for any first sale occurring prior to July 1, 2008, petroleum products to be used as a fuel for a fuel cell, as defined in subdivision (113) of section 12-412; (K) a commercial heating oil blend containing not less than ten per cent of alternative fuels derived from agricultural produce, food waste, waste vegetable oil or municipal solid waste, including, but not limited to, biodiesel or low sulfur dyed diesel fuel; [or] (L) for any first sale occurring on or after July 1, 2007, diesel fuel other than diesel fuel to be used in an electric generating facility to generate electricity; or (M) for any first sale occurring on or after July 1, 2012, cosmetic grade mineral oil.
(3) The rate of tax on gross earnings derived from the first sale of grade number 6 fuel oil, as defined in regulations adopted pursuant to section 16a-22c, to be used exclusively by a company which, in accordance with census data contained in the Standard Industrial Classification Manual, United States Office of Management and Budget, 1987 edition, is included in code classifications 2000 to 3999, inclusive, or in Sector 31, 32 or 33 in the North American Industrial Classification System United States Manual, United States Office of Management and Budget, 1997 edition, or number 2 heating oil used exclusively in a vessel primarily engaged in interstate commerce, which vessel qualifies for an exemption under section 12-412 shall be: (A) Four per cent with respect to calendar quarters commencing on or after July 1, 1998, and prior to July 1, 1999; (B) three per cent with respect to calendar quarters commencing on or after July 1, 1999, and prior to July 1, 2000; (C) two per cent with respect to calendar quarters commencing on or after July 1, 2000, and prior to July 1, 2001; and (D) one per cent with respect to calendar quarters commencing on or after July 1, 2001, and prior to July 1, 2002.
This act shall take effect as follows and shall amend the following sections:
Section 1 July 1, 2012 New section
Sec. 2 July 1, 2012 New section
Sec. 3 July 1, 2012 12-587(b)
This act shall take effect as follows and shall amend the following sections:
Section 1
July 1, 2012
New section
Sec. 2
July 1, 2012
New section
Sec. 3
July 1, 2012
12-587(b)
FIN Joint Favorable Subst.
ENV Joint Favorable
FIN
Joint Favorable Subst.
ENV
Joint Favorable