84R9189 ADM-D
By: Bonnen of Galveston H.B. No. 2731
A BILL TO BE ENTITLED
AN ACT
relating to the exemption of nonprofit ambulance companies from
motor 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;
(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 volunteer fire department in this state
for the department's exclusive use; or
(9) sold to a nonprofit entity that is organized for
the sole purpose of and engages exclusively in providing emergency
medical services and that uses the gasoline exclusively to provide
emergency medical services, including rescue and ambulance
services.
SECTION 2. Section 162.125, Tax Code, is amended by adding
Subsection (g-2) to read as follows:
(g-2) A nonprofit entity exempted under Section
162.104(a)(9) from the tax imposed under this subchapter that paid
tax on the purchase of gasoline is entitled to a refund of the tax
paid, and the entity may file a refund claim with the comptroller
for that amount.
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, renewable
diesel, 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,
renewable diesel, 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;
(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 volunteer fire department
in this state for the department's exclusive use; or
(15) diesel fuel sold to a nonprofit entity that is
organized for the sole purpose of and engages exclusively in
providing emergency medical services and that uses the diesel fuel
exclusively to provide emergency medical services, including
rescue and ambulance services.
SECTION 4. Section 162.227, Tax Code, is amended by adding
Subsection (f-2) to read as follows:
(f-2) A nonprofit entity exempted under Section
162.204(a)(15) from the tax imposed under this subchapter that paid
tax on the purchase of diesel fuel is entitled to a refund of the tax
paid, and the entity may file a refund claim with the comptroller
for that amount.
SECTION 5. Subchapter D, Chapter 162, Tax Code, is amended
by adding Section 162.3023 to read as follows:
Sec. 162.3023. NONPROFIT EMERGENCY MEDICAL SERVICES
EXEMPTION. (a) The tax imposed by this subchapter does not apply to
the sale of liquefied petroleum gas to a nonprofit entity that is
organized for the sole purpose of and engages exclusively in
providing emergency medical services and that uses the gas
exclusively to provide emergency medical services, including
rescue and ambulance services, or to the use of liquefied petroleum
gas by that entity for that purpose.
(b) A motor vehicle that uses liquefied petroleum gas, that
is owned by a nonprofit entity described by Subsection (a) and that
is used exclusively to provide emergency medical services,
including rescue and ambulance services, is not required to have a
liquefied gas tax decal or a special use liquefied gas tax decal.
SECTION 6. Section 162.356, Tax Code, is amended to read as
follows:
Sec. 162.356. EXEMPTIONS. The tax imposed by this
subchapter does not apply to compressed natural gas or liquefied
natural gas delivered into the fuel supply tank of:
(1) a motor vehicle operated exclusively by the United
States, provided that the exemption does not apply with respect to
fuel delivered into the fuel supply tank of a motor vehicle of a
person operating under a contract with the United States;
(2) a motor vehicle operated exclusively by a public
school district in this state;
(3) a motor vehicle operated exclusively by 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 fuel only to
provide those services;
(4) a motor vehicle operated exclusively by a
volunteer fire department in this state;
(5) a motor vehicle operated exclusively by a county
in this state;
(6) a motor vehicle operated exclusively by a
nonprofit electric cooperative corporation organized under Chapter
161, Utilities Code;
(7) a motor vehicle operated exclusively by a
nonprofit telephone cooperative corporation organized under
Chapter 162, Utilities Code;
(8) a motor vehicle that is not registered for use on
the public highways of this state and that is used exclusively
off-highway; [or]
(9) a motor vehicle operated exclusively by a
nonprofit entity that is organized for the sole purpose of and
engages exclusively in providing emergency medical services and
that uses the fuel exclusively to provide emergency medical
services, including rescue and ambulance services; or
(10) off-highway equipment, a stationary engine, a
motorboat, an aircraft, equipment used solely for servicing
aircraft and used exclusively off-highway, a locomotive, or any
device other than a motor vehicle operated or intended to be
operated on the public highways.
SECTION 7. Section 162.365(a), Tax Code, is amended to read
as follows:
(a) 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 may file a refund claim with
the comptroller if the license holder or person paid tax on
compressed natural gas or liquefied natural gas and the license
holder or person:
(1) is the United States government and the fuel was
delivered into the fuel supply tank of a motor vehicle operated
exclusively by the United States, provided that a credit or refund
is not allowed for fuel delivered into the fuel supply tank of a
motor vehicle operated by a person operating under a contract with
the United States;
(2) is a public school district in this state and the
fuel was delivered into the fuel supply tank of a motor vehicle
operated exclusively by the district;
(3) is a commercial transportation company that
provides public school transportation services to a school district
under Section 34.008, Education Code, and the fuel was delivered
into the fuel supply tank of a motor vehicle used to provide those
services;
(4) is a volunteer fire department in this state and
the fuel was delivered into the fuel supply tank of a motor vehicle
operated exclusively by the department;
(5) is a county in this state and the fuel was
delivered into the fuel supply tank of a motor vehicle operated
exclusively by the county;
(6) is a nonprofit electric cooperative corporation
organized under Chapter 161, Utilities Code, and the fuel was
delivered into the fuel supply tank of a motor vehicle operated
exclusively by the electric cooperative;
(7) is a nonprofit telephone cooperative corporation
organized under Chapter 162, Utilities Code, and the fuel was
delivered into the fuel supply tank of a motor vehicle operated
exclusively by the telephone cooperative;
(8) uses the fuel in off-highway equipment, in a
stationary engine, in a motorboat, in an aircraft, in equipment
used solely for servicing aircraft and used exclusively
off-highway, in a locomotive, or for other nonhighway purposes and
not in a motor vehicle operated or intended to be operated on the
public highways; [or]
(9) uses the fuel in a motor vehicle that is operated
exclusively off-highway, 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
(10) is a nonprofit entity that is organized for the
sole purpose of and engages exclusively in providing emergency
medical services and the fuel was delivered into the fuel supply
tank of a motor vehicle operated exclusively by the nonprofit
entity to provide emergency medical services, including rescue and
ambulance services.
SECTION 8. 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 9. 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, 2015.