81R8059 CBH-D
By: Raymond H.B. No. 2273
A BILL TO BE ENTITLED
AN ACT
relating to the exemption of certain counties from gasoline and
diesel fuel taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 162.104(a), Tax Code, is amended to read
as follows:
(a) The tax imposed by this subchapter does not apply to
gasoline:
(1) sold to the United States for its exclusive use,
provided that the exemption does not apply with respect to fuel sold
or delivered to a person operating under a contract with the United
States;
(2) sold to a public school district in this state for
the district's exclusive use;
(3) sold to a commercial transportation company or a
metropolitan rapid transit authority operating under Chapter 451,
Transportation Code, that provides public school transportation
services to a school district under Section 34.008, Education Code,
and that uses the gasoline only to provide those services;
(4) exported by either a licensed supplier or a
licensed exporter from this state to any other state, provided
that:
(A) for gasoline in a situation described by
Subsection (d), the bill of lading indicates the destination state
and the supplier collects the destination state tax; or
(B) for gasoline in a situation described by
Subsection (e), the bill of lading indicates the destination state,
the gasoline is subsequently exported, and the exporter is licensed
in the destination state to pay that state's tax and has an
exporter's license issued under this subchapter;
(5) moved by truck or railcar between licensed
suppliers or licensed permissive suppliers and in which the
gasoline removed from the first terminal comes to rest in the second
terminal, provided that the removal from the second terminal rack
is subject to the tax imposed by this subchapter;
(6) delivered or sold into a storage facility of a
licensed aviation fuel dealer from which gasoline will be delivered
solely into the fuel supply tanks of aircraft or aircraft servicing
equipment, or sold from one licensed aviation fuel dealer to
another licensed aviation fuel dealer who will deliver the aviation
fuel exclusively into the fuel supply tanks of aircraft or aircraft
servicing equipment; [or]
(7) exported to a foreign country if the bill of lading
indicates the foreign destination and the fuel is actually exported
to the foreign country; or
(8) sold to a county in this state that has a total
area of more than 3,000 square miles for the county's exclusive use.
SECTION 2. Sections 162.125(a) and (c), Tax Code, are
amended to read as follows:
(a) A license holder may take a credit on a return for the
period in which the sale occurred if the license holder paid tax on
the purchase of gasoline and subsequently resells the gasoline
without collecting the tax to:
(1) the United States government for its exclusive
use, provided that a credit is not allowed for gasoline used by a
person operating under contract with the United States;
(2) a public school district in this state for the
district's exclusive use;
(3) an exporter licensed under this subchapter if the
seller is a licensed supplier or distributor and the exporter
subsequently exports the gasoline to another state;
(4) a licensed aviation fuel dealer if the seller is a
licensed distributor; [or]
(5) a commercial transportation company or a
metropolitan rapid transit authority operating under Chapter 451,
Transportation Code, that provides public school transportation
services to a school district under Section 34.008, Education Code,
and that uses the gasoline exclusively to provide those services;
or
(6) a county in this state that has a total area of
more than 3,000 square miles for the county's exclusive use.
(c) A license holder may take a credit on a return for the
period in which the purchase occurred, and a person who does not
hold a license under this subchapter, other than a license as an
aviation fuel dealer, may file a refund claim with the comptroller
if the license holder or person paid tax on gasoline and the license
holder or person:
(1) is the United States government and the gasoline
is for its exclusive use, provided that a credit or refund is not
allowed for gasoline used by a license holder or person operating
under a contract with the United States;
(2) is a public school district in this state and the
gasoline is for the district's exclusive use;
(3) is a commercial transportation company that
provides public school transportation services to a school district
under Section 34.008, Education Code, and the gasoline is used
exclusively to provide those services;
(4) uses the gasoline in off-highway equipment, in
stationary engines, or for other nonhighway purposes and not in a
motor vehicle operated or intended to be operated on the public
highways;
(5) uses the gasoline in a motor vehicle that is
operated exclusively off the public highways, except for incidental
travel on the public highways as determined by the comptroller,
provided that a credit or refund may not be allowed for the portion
used in the incidental highway travel; [or]
(6) is a licensed aviation fuel dealer who delivers
the gasoline into the fuel supply tanks of aircraft or aircraft
servicing equipment; or
(7) is a county in this state that has a total area of
more than 3,000 square miles and the gasoline is for the county's
exclusive use.
SECTION 3. Section 162.204(a), Tax Code, is amended to read
as follows:
(a) The tax imposed by this subchapter does not apply to:
(1) diesel fuel sold to the United States for its
exclusive use, provided that the exemption does not apply to diesel
fuel sold or delivered to a person operating under a contract with
the United States;
(2) diesel fuel sold to a public school district in
this state for the district's exclusive use;
(3) diesel fuel sold to a commercial transportation
company or a metropolitan rapid transit authority operating under
Chapter 451, Transportation Code, that provides public school
transportation services to a school district under Section 34.008,
Education Code, and that uses the diesel fuel only to provide those
services;
(4) diesel fuel exported by either a licensed supplier
or a licensed exporter from this state to any other state, provided
that:
(A) for diesel fuel in a situation described by
Subsection (d), the bill of lading indicates the destination state
and the supplier collects the destination state tax; or
(B) for diesel fuel in a situation described by
Subsection (e), the bill of lading indicates the destination state,
the diesel fuel is subsequently exported, and the exporter is
licensed in the destination state to pay that state's tax and has an
exporter's license issued under this subchapter;
(5) diesel fuel moved by truck or railcar between
licensed suppliers or licensed permissive suppliers and in which
the diesel fuel removed from the first terminal comes to rest in the
second terminal, provided that the removal from the second terminal
rack is subject to the tax imposed by this subchapter;
(6) diesel fuel delivered or sold into a storage
facility of a licensed aviation fuel dealer from which the diesel
fuel will be delivered solely into the fuel supply tanks of aircraft
or aircraft servicing equipment, or sold from one licensed aviation
fuel dealer to another licensed aviation fuel dealer who will
deliver the diesel fuel exclusively into the fuel supply tanks of
aircraft or aircraft servicing equipment;
(7) diesel fuel exported to a foreign country if the
bill of lading indicates the foreign destination and the fuel is
actually exported to the foreign country;
(8) dyed diesel fuel sold or delivered by a supplier to
another supplier and dyed diesel fuel sold or delivered by a
supplier or distributor into the bulk storage facility of a dyed
diesel fuel bonded user or to a purchaser who provides a signed
statement as provided by Section 162.206;
(9) the volume of water, fuel ethanol, biodiesel, or
mixtures thereof that are blended together with taxable diesel fuel
when the finished product sold or used is clearly identified on the
retail pump, storage tank, and sales invoice as a combination of
diesel fuel and water, fuel ethanol, biodiesel, or mixtures
thereof;
(10) dyed diesel fuel sold by a supplier or permissive
supplier to a distributor, or by a distributor to another
distributor;
(11) dyed diesel fuel delivered by a license holder
into the fuel supply tanks of railway engines, motorboats, or
refrigeration units or other stationary equipment powered by a
separate motor from a separate fuel supply tank;
(12) dyed kerosene when delivered by a supplier,
distributor, or importer into a storage facility at a retail
business from which all deliveries are exclusively for heating,
cooking, lighting, or similar nonhighway use; [or]
(13) diesel fuel used by a person, other than a
political subdivision, who owns, controls, operates, or manages a
commercial motor vehicle as defined by Section 548.001,
Transportation Code, if the fuel:
(A) is delivered exclusively into the fuel supply
tank of the commercial motor vehicle; and
(B) is used exclusively to transport passengers
for compensation or hire between points in this state on a fixed
route or schedule; or
(14) diesel fuel sold to a county in this state that
has a total area of more than 3,000 square miles for the county's
exclusive use.
SECTION 4. Sections 162.227(a) and (c), Tax Code, are
amended to read as follows:
(a) A license holder may take a credit on a return for the
period in which the sale occurred if the license holder paid tax on
the purchase of diesel fuel and subsequently resells the diesel
fuel without collecting the tax to:
(1) the United States government for its exclusive
use, provided that a credit is not allowed for gasoline used by a
person operating under a contract with the United States;
(2) a public school district in this state for the
district's exclusive use;
(3) an exporter licensed under this subchapter if the
seller is a licensed supplier or distributor and the exporter
subsequently exports the diesel fuel to another state;
(4) a licensed aviation fuel dealer if the seller is a
licensed distributor; [or]
(5) a commercial transportation company or a
metropolitan rapid transit authority operating under Chapter 451,
Transportation Code, that provides public school transportation
services to a school district under Section 34.008, Education Code,
and that uses the diesel fuel exclusively to provide those
services; or
(6) a county in this state that has a total area of
more than 3,000 square miles for the county's exclusive use.
(c) A license holder may take a credit on a return for the
period in which the purchase occurred, and a person who does not
hold a license under this subchapter, other than a license as an
aviation fuel dealer, may file a refund claim with the comptroller
if the license holder or person paid tax on diesel fuel and the
license holder or person:
(1) is the United States government and the diesel
fuel is for its exclusive use, provided that a credit or refund is
not allowed for diesel fuel used by a license holder or person
operating under a contract with the United States;
(2) is a public school district in this state and the
diesel fuel is for the district's exclusive use;
(3) is a commercial transportation company that
provides public school transportation services to a school district
under Section 34.008, Education Code, and the diesel fuel is used
exclusively to provide those services; [or]
(4) is a licensed aviation fuel dealer who delivers
the diesel fuel into the fuel supply tanks of aircraft or aircraft
servicing equipment; or
(5) is a county in this state that has a total area of
more than 3,000 square miles and the diesel fuel is for the county's
exclusive use.
SECTION 5. The change in law made by this Act does not
affect tax liability accruing before the effective date of this
Act. That liability continues in effect as if this Act had not been
enacted, and the former law is continued in effect for the
collection of taxes due and for civil and criminal enforcement of
the liability for those taxes.
SECTION 6. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2009.