FIRSTREGULARSESSION
HOUSEBILLNO.520
102NDGENERALASSEMBLY
INTRODUCEDBYREPRESENTATIVEMAYHEW.
0689H.01I DANARADEMANMILLER,ChiefClerk
ANACT
Torepealsections142.815,142.822,and142.824,RSMo,andtoenactinlieuthereofthree
newsectionsrelatingtomotorfueltaxrefunds.
BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows:
SectionA.Sections142.815,142.822,and142.824,RSMo,arerepealedandthree
2newsectionsenactedinlieuthereof,tobeknownassections142.815,142.822,and142.824,
3toreadasfollows:
142.815.1.Motorfuelusedforthefollowingnonhighwaypurposesisexemptfrom
2thefueltaximposedbythischapter,andarefundmaybeclaimedbytheconsumer,exceptas
3providedforinsubdivision(1)ofthissubsection,ifthetaxhasbeenpaidandnorefundhas
4beenpreviouslyissued:
5 (1)Motorfuelusedfornonhighwaypurposesincludingfuelforfarmtractorsor
6stationaryenginesownedorleasedandoperatedbyanypersonandusedexclusivelyfor
7agriculturalpurposesandincluding,beginningJanuary1,2006,bulksalesofonehundred
8gallonsormoreofgasolinemadetofarmersanddeliveredbytheultimatevendertoafarm
9locationforagriculturalpurposesonly.Asusedinthissection,theterm"farmer"shallmean
10anypersonengagedinfarminginanauthorizedfarmcorporation,familyfarm,orfamilyfarm
11corporationasdefinedinsection350.010.Atthediscretionoftheultimatevender,therefund
12maybeclaimedbytheultimatevenderonbehalfoftheconsumerforsalesmadetofarmers
13andtopersonsengagedinconstructionforagriculturalpurposesasdefinedinsection
14142.800.AfterDecember31,2000,therefundmaybeclaimedonlybytheconsumerand
15maynotbeclaimedbytheultimatevenderunlessbulksalesofgasolinearemadetoafarmer
16afterJanuary1,2006,asprovidedinthissubdivisionandthefarmerprovidesanexemption
EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis
intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 17certificatetotheultimatevender,inwhichcasetheultimatevendermaymakeaclaimfor
18refundundersection142.824butshallbeliableforanyerroneousrefund;
19 (2)Kerosenesoldforuseasfueltogeneratepowerinaircraftengines,whetherin
20aircraftorfortraining,testingorresearchpurposesofaircraftengines;
21 (3)Dieselfuelusedasheatingoil,orinrailroadlocomotivesoranyothermotorized
22flanged-wheelrailequipment,orusedforothernonhighwaypurposesotherthanasexpressly
23exemptedpursuanttoanotherprovision.
24 2.Subjecttotheproceduralrequirementsandconditionssetoutinthischapter,the
25followingusesareexemptfromthetaximposedbysection142.803onmotorfuel,anda
26deductionorarefundmaybeclaimed:
27 (1)(a)Motorfuelforwhichproofofexportisavailableintheformofaterminal-
28issueddestinationstateshippingpaperandwhichiseither:
29 [(a)]a.Exportedbyasupplierwhoislicensedinthedestinationstateorthroughthe
30bulktransfersystem;
31 [(b)]b.Removedbyalicenseddistributorforimmediateexporttoastateforwhich
32alltheapplicabletaxesandfees(howevernominatedinthatstate)ofthedestinationstate
33havebeenpaidtothesupplier,asatrustee,whoislicensedtoremittaxtothedestination
34state;orwhichisdestinedforusewithinthedestinationstatebythefederalgovernmentfor
35whichanexemptionhasbeenmadeavailablebythedestinationstatesubjecttoprocedural
36rulesandregulationspromulgatedbythedirector;or
37 [(c)]c.Acquiredbyalicenseddistributorandwhichthetaximposedbythischapter
38haspreviouslybeenpaidoraccruedeitherasaresultofbeingstoredoutsideofthebulk
39transfersystemimmediatelypriortoloadingorasadiversionacrossstateboundaries
40properlyreportedinconformitywiththischapterandwassubsequentlyexportedfromthis
41stateonbehalfofthedistributor[;].
42 (b)Theexemptionpursuanttosubparagrapha.ofparagraph(a)ofthissubdivision
43shallbeclaimedbyadeductiononthereportofthesupplierwhichisotherwiseresponsible
44forremittingthetaxuponremovaloftheproductfromaterminalorrefineryinthisstate.
45 (c)The[exemption] exemptionspursuantto[paragraphs(b)and(c)]subparagraphs
46b.andc.ofparagraph(a)ofthissubdivisionshallbeclaimedbythedistributor,upona
47refundapplicationmadetothedirectorwithinthreeyears.
48 (d)Arefundclaimmaybemademonthlyorwhenevertheclaimexceedsone
49thousanddollars;
50 (2)UndyedK-1kerosenesoldatretailthroughdispenserswhichhavebeendesigned
51andconstructedtopreventdeliverydirectlyfromthedispenserintoavehiclefuelsupplytank,
52andundyedK-1kerosenesoldatretailthroughnonbarricadeddispensersinquantitiesofnot
53morethantwenty-onegallonsforuseotherthanforhighwaypurposes.Exemptuseof
HB520 2 54undyedkeroseneshallbegovernedbyrulesandregulationsofthedirector.Ifnorulesor
55regulationsarepromulgatedbythedirector,thentheexemptuseofundyedkeroseneshallbe
56governedbyrulesandregulationsoftheInternalRevenueService.Adistributororsupplier
57deliveringtoaretailfacilityshallobtainanexemptioncertificatefromtheowneroroperator
58ofsuchfacilitystatingthatitssalesconformtothedispenserrequirementsofthissubdivision.
59Alicenseddistributor,havingobtainedsuchcertificate,mayprovideacopytohisorher
60supplierandobtainundyedkerosenewithoutthetaxleviedbysection142.803.Having
61obtainedsuchcertificateingoodfaith,suchsuppliershallberelievedofanyresponsibilityif
62thefuelislaterusedinataxablemanner.Anultimatevendorwhoobtainedundyedkerosene
63uponwhichthetaxleviedbysection142.803hadbeenpaidandmakessalesqualifying
64pursuanttothissubsectionmayapplyforarefundofthetaxpursuanttoapplication,as
65providedinsection142.818,tothedirectorprovidedtheultimatevendordidnotchargesuch
66taxtotheconsumer;
67 (3)MotorfuelsoldtotheUnitedStatesoranyagencyorinstrumentalitythereof.
68Thisexemptionshallbeclaimedasprovidedinsection142.818;
69 (4)Motorfuelusedsolelyandexclusivelyasfueltopropelmotorvehiclesonthe
70publicroadsandhighwaysofthisstatewhenleasedorownedandwhenbeingoperatedbya
71federallyrecognizedIndiantribeintheperformanceofessentialgovernmentalfunctions,
72suchasprovidingpolice,fire,healthorwaterservices.Theexemptionforusepursuantto
73thissubdivisionshallbemadeavailabletothetribalgovernmentuponarefundapplication
74statingthatthemotorfuelwaspurchasedfortheexclusiveuseofthetribeinperforming
75namedessentialgovernmentalservices;
76 (5)Thatportionofmotorfuelusedtooperateequipmentattachedtoamotorvehicle,
77ifthemotorfuelwasplacedintothefuelsupplytankofamotorvehiclethathasacommon
78fuelreservoirfortravelonahighwayandfortheoperationofequipment,orifthemotorfuel
79wasplacedinaseparatefueltankandusedonlyfortheoperationofauxiliaryequipment.
80Theexemptionforusepursuanttothissubdivisionshallbeclaimedbyarefundclaimfiledby
81theconsumerwhoshallprovideevidenceofanallocationofusesatisfactorytothedirector;
82 (6)Motorfuelacquiredbyaconsumerout-of-stateandcarriedintothisstate,retained
83withinandconsumedfromthesamevehiclefuelsupplytankwithinwhichitwasimported,
84exceptinterstatemotorfuelusers;
85 (7)Motorfuelwhichwaspurchasedtax-paidandwhichwaslostordestroyedasa
86directresultofasuddenandunexpectedcasualtyorwhichhadbeenaccidentally
87contaminatedsoastobeunsalableashighwayfuelasshownbyproperdocumentationas
88requiredbythedirector.Theexemptionpursuanttothissubdivisionshallberefundedtothe
89personorentityowningthemotorfuelatthetimeofthecontaminationorloss.Suchperson
90shallnotifythedirectorinwritingofsucheventandtheamountofmotorfuellostor
HB520 3 91contaminatedwithintendaysfromthedateofdiscoveryofsuchlossorcontamination,and
92withinthirtydaysaftersuchnotice,shallfileanaffidavitsworntobythepersonhaving
93immediatecustodyofsuchmotorfuelatthetimeofthelossorcontamination,settingforthin
94fullthecircumstancesandtheamountofthelossorcontaminationandsuchotherinformation
95withrespecttheretoasthedirectormayrequire;
96 (8)Dyeddieselfuelordyedkeroseneusedforanexemptpurpose.Thisexemption
97shallbeclaimedasfollows:
98 (a)Asupplierorimportershalltakeadeductionagainstmotorfueltaxowedontheir
99monthlyreportforthosegallonsofdyeddieselfuelordyedkeroseneimportedorremoved
100fromaterminalorrefinerydestinedfordeliverytoapointinthisstateasshownonthe
101shippingpapers;
102 (b)Thisexemptionshallbeclaimedbyadeductiononthereportofthesupplier
103whichisotherwiseresponsibleforremittingthetaxonremovaloftheproductfromaterminal
104orrefineryinthisstate;and
105 (c)Thisexemptionshallbeclaimedbythedistributor,uponarefundapplication
106madetothedirectorwithinthreeyears.Arefundclaimmaybemademonthlyorwhenever
107theclaimexceedsonethousanddollars;and
108 (9)Motorfueldeliveredtoanymarinawithinthisstatethatsellssuchfuelsolelyfor
109useinanywatercraft,assuchtermisdefinedinsection306.010,andnotaccessibletoother
110motorvehicles,isexemptfromthefueltaximposedbythischapter.Anymotorfuel
111distributorthatdeliversmotorfueltoanymarinainthisstateforusesolelyinanywatercraft,
112assuchtermisdefinedinsection306.010,mayclaimtheexemptionprovidedinthis
113subsection.Anymotorfuelcustomerwhopurchasesmotorfuelforuseinanywatercraft,as
114suchtermisdefinedinsection306.010,atalocationotherthanamarinawithinthisstatemay
115claimtheexemptionprovidedinthissubsectionbyfilingaclaimforrefundofthefueltax.
116 3.(1)BeginningonOctober1,2023,anentityexemptfromtaxationasprovided
117bySection501(c)(3)oftheInternalRevenueCodeof1986(26U.S.C.Section501),as
118amended,towhichanindividual,person,orentitythatiseligibletoclaimarefundas
119providedinthissectionsubmitsalldocumentationandinformationrequiredtomakea
120refundapplicationmaymakeaclaimforsuchindividual's,person's,orentity'srefund
121asprovidedinthissection.Uponapproval,therefundshallbemadetosuchexempt
122entity.
123 (2)Ataxpayerwhoisanindividual,person,orentitythatsubmitstherequired
124informationtoanexemptentityasdescribedinsubdivision(1)ofthissubsectionshallbe
125allowedtosubtractfromsuchtaxpayer'sMissouriadjustedgrossincometodetermine
126Missouritaxableincomeanamountequaltothetotalamounteligibleforarefund
127submittedtoanexemptentityundersubdivision(1)ofthissectionforthesametaxyear.
HB520 4 128Suchamountshallbedeductibleonlytotheextentthatsuchamountisnotdeductedon
129thetaxpayer'sfederalincometaxreturnforthattaxyear.Thedepartmentofrevenue
130shallpromulgaterulesandregulationstoadministertheprovisionsofthissection.
142.822.1.(1)Asusedinthissectionandsection142.824,"nonprofitentity"
2meansanyentitythatisexemptfromtaxationasprovidedinSection501(c)(3)ofthe
3InternalRevenueCodeof1986(26U.S.C.Section501),asamended.
4 (2)Motorfuelusedforpurposesofpropellingmotorvehiclesonhighwaysshallbe
5exemptfromthefueltaxcollectedundersubsection3ofsection142.803,andanexemption
6andrefundmaybeclaimedbythetaxpayerifthetaxhasbeenpaidandnorefundhasbeen
7previouslyissued,providedthatthetaxpayerappliesfortheexemptionandrefundas
8specifiedinthissection.BeginningonandafterOctober1,2023,anynonprofitentityto
9whichataxpayerwhoiseligibletoclaimarefundasprovidedinthissectionsubmitsall
10documentationandinformationrequiredtomakearefundapplicationmaymakea
11claimforsuchtaxpayer'srefundasprovidedinthissection.Uponapproval,therefund
12shallbemadetosuchnonprofitentity.Theexemptionandrefundshallbeissuedona
13fiscalyearbasistoeachpersonwhopaysthefueltaxcollectedundersubsection3ofsection
14142.803andwhoclaimsanexemptionandrefundinaccordancewiththissection,andshall
15applysothatthefueltaxpayerhasnoliabilityforthetaxcollectedinthatfiscalyearunder
16subsection3ofsection142.803.
17 2.Toclaimanexemptionandrefundinaccordancewiththissection,apersonshall
18presenttothedirectorastatementcontainingawrittenverificationthattheclaimismade
19underpenaltyofperjuryandthatstatesthetotalfueltaxpaidintheapplicablefiscalyearfor
20eachvehicleforwhichtheexemptionandrefundisclaimed.Theclaimshall[notbe
21transferredorassigned,andshall] befiledonorafterJulyfirst,butnotlaterthanSeptember
22thirtieth,followingthefiscalyearforwhichtheexemptionandrefundisclaimed.Theclaim
23statementmaybesubmittedelectronically,andshallataminimumincludethefollowing
24information:
25 (1)Vehicleidentificationnumberofthemotorvehicleintowhichthemotorfuelwas
26delivered;
27 (2)Dateofsale;
28 (3)Nameandaddressofpurchaser;
29 (4)Nameandaddressofseller;
30 (5)Numberofgallonspurchased;[and]
31 (6)NumberofgallonspurchasedandchargedMissourifueltax,asaseparateitem;
32and
33 (7)Iftheclaimissubmittedbyanonprofitentity:
34 (a)Documentationofthenonprofitentity'stax-exemptstatus;and
HB520 5 35 (b)Astatementsignedbythepurchaserindicatingthatthenonprofitentityis
36entitledtothepurchaser'srefund.
37 3.Everypersonshallmaintainandkeeprecordssupportingtheclaimstatementfiled
38withthedepartmentofrevenueforaperiodofthreeyearstosubstantiateallclaimsfor
39exemptionandrefundofthemotorfueltax,togetherwithinvoices,originalsalesreceipts
40markedpaidbytheseller,billsoflading,andotherpertinentrecordsandpaperasmaybe
41requiredbythedirectorforreasonableadministrationofthischapter.Therequirementto
42maintainrecordsshallbetheresponsibilityofanynonprofitentitytowhichapurchaser
43submitsclaimrecordsrequiredbythissection.
44 4.Thedirectormaymakeanyinvestigationnecessarybeforeissuinganexemption
45andrefundunderthissection,andmayinvestigateanexemptionandrefundunderthissection
46afterithasbeenissuedandwithinthetimeframeformakingadjustmentstothetaxpursuant
47tothischapter.
48 5.Ifanexemptionandrefundisnotissuedwithinforty-fivedaysofanaccurateand
49completefiling,asrequiredbythischapter,thedirectorshallpayinterestattherateprovided
50insection32.065accruingaftertheexpirationoftheforty-five-dayperioduntilthedatethe
51exemptionandrefundisissued.
52 6.Theexemptionandrefundspecifiedinthissectionshallbeavailableonlywith
53regardtomotorfueldeliveredintoamotorvehiclewithagrossweight,asdefinedinsection
54301.010,oftwenty-sixthousandpoundsorless.
55 7.Thedirectorshallpromulgaterulesasnecessarytoimplementtheprovisionsof
56thissection.Anyruleorportionofarule,asthattermisdefinedinsection536.010,thatis
57createdundertheauthoritydelegatedinthissectionshallbecomeeffectiveonlyifitcomplies
58withandissubjecttoalloftheprovisionsofchapter536and,ifapplicable,section536.028.
59Thissectionandchapter536arenonseverableandifanyofthepowersvestedwiththe
60generalassemblypursuanttochapter536toreview,todelaytheeffectivedate,orto
61disapproveandannularulearesubsequentlyheldunconstitutional,thenthegrantof
62rulemakingauthorityandanyruleproposedoradoptedafterAugust28,2021,shallbeinvalid
63andvoid.
142.824.1.Toclaimarefundinaccordancewithsection142.815,apersonshall
2presenttothedirectorastatementcontainingawrittenverificationthattheclaimismade
3underpenaltiesofperjuryandliststhetotalamountofmotorfuelpurchasedandusedfor
4exemptpurposes.BeginningonOctober1,2023,anynonprofitentitytowhichaperson
5whoiseligibletoclaimarefundasprovidedinthissectionsubmitsalldocumentation
6andinformationrequiredtomakearefundapplicationmaymakeaclaimforsuch
7person'srefundasprovidedinthissection.Uponapproval,therefundshallbemadeto
8suchnonprofitentity.Theclaimshall[notbetransferredorassignedandshall]befilednot
HB520 6 9morethanthreeyearsafterthedatethemotorfuelwasimported,removedorsoldifthe
10claimantisasupplier,importer,exporterordistributor.Iftheclaimisfiledbytheultimate
11consumer,aconsumermustfiletheclaimwithinoneyearofthedateofpurchaseorApril
12fifteenthfollowingtheyearofpurchase,whicheverislater.Theclaimstatementmaybe
13submittedelectronically,andshallbesupportedbydocumentationasapprovedbythedirector
14andshallincludethefollowinginformation:
15 (1)Dateofsale;
16 (2)Nameandaddressofpurchaser;
17 (3)Nameandaddressofseller;
18 (4)Numberofgallonspurchasedandbasepricepergallon;
19 (5)NumberofgallonspurchasedandchargedMissourifueltax,asaseparateitem;
20[and]
21 (6)Numberofgallonspurchasedandchargedsalestax,ifapplicable,asaseparate
22item;and
23 (7)Iftheclaimissubmittedbyanonprofitentity:
24 (a)Documentationofthenonprofitentity'stax-exemptstatus;and
25 (b)Astatementsignedbythepurchaserindicatingthatthenonprofitentityis
26entitledtothepurchaser'srefund.
27 2.Iftheoriginalsalessliporinvoiceislostordestroyed,astatementtothateffect
28shallaccompanytheclaimforrefund,andtheclaimstatementshallalsosetforththeserial
29numberoftheinvoice.Ifthedirectorfindstheclaimisotherwiseregular,thedirectormay
30allowsuchclaimforrefund.
31 3.Thedirectormaymakeanyinvestigationnecessarybeforerefundingthemotorfuel
32taxtoapersonandmayinvestigatearefundaftertherefundhasbeenissuedandwithinthe
33timeframeformakingadjustmentstothetaxpursuanttothischapter.
34 4.Inanycasewherearefundwouldbepayabletoasupplierpursuanttothischapter,
35thesuppliermayclaimacreditinlieuofsuchrefundforaperiodnottoexceedthreeyears.
36 5.Everypersonshallmaintainandkeepforaperiodofthreeyearsrecordsto
37substantiateallclaimsforrefundofthemotorfueltax,togetherwithinvoices,originalsales
38slipsmarkedpaidbytheseller,billsoflading,andotherpertinentrecordsandpaperasmay
39berequiredbythedirectorforreasonableadministrationofthischapter.Therequirementto
40maintainrecordsshallbetheresponsibilityofanynonprofitentitytowhichapurchaser
41submitsclaimrecordsrequiredbythissection.
42 6.Motorfueltaxthathasbeenpaidmorethanoncewithrespecttothesamegallonof
43motorfuelshallberefundedbythedirectortothepersonwholastpaidthetaxafterthe
44subsequenttaxableeventuponsubmittingproofsatisfactorytothedirector.
HB520 7 45 7.Motorfueltaxthathasotherwisebeenerroneouslypaidbyapersonshallbe
46refundedbythedirectoruponproofshownsatisfactorytothedirector.
47 8.Ifarefundisnotissuedwithinforty-fivedaysofanaccurateandcompletefiling,
48asrequiredbythischapter,thedirectorshallpayinterestattherateprovidedinsection32.065
49accruingaftertheexpirationoftheforty-five-dayperioduntilthedatetherefundisissued.
50 9.Thedirectorshallpromulgaterulesasnecessarytoimplementtheprovisionsof
51thissection.Anyruleorportionofarule,asthattermisdefinedinsection536.010,thatis
52createdundertheauthoritydelegatedinthissectionshallbecomeeffectiveonlyifitcomplies
53withandissubjecttoalloftheprovisionsofchapter536and,ifapplicable,section536.028.
54Thissectionandchapter536arenonseverableandifanyofthepowersvestedwiththe
55generalassemblypursuanttochapter536toreview,todelaytheeffectivedate,orto
56disapproveandannularulearesubsequentlyheldunconstitutional,thenthegrantof
57rulemakingauthorityandanyruleproposedoradoptedafterAugust28,2021,shallbeinvalid
58andvoid.
âś”
HB520 8