84R14787 GRM-D
By: Zaffirini S.B. No. 1380
A BILL TO BE ENTITLED
AN ACT
relating to the exemption of municipalities, certain metropolitan
rapid transit authorities, and regional transit authorities from
certain motor fuel taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. 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) 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;
(10) a motor vehicle operated exclusively by a
metropolitan rapid transit authority operating under Chapter 451,
Transportation Code, or a regional transportation authority
operating under Chapter 452, Transportation Code; or
(11) a motor vehicle operated exclusively by a
municipality in this state.
SECTION 2. 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;
(10) is a metropolitan rapid transit authority
operating under Chapter 451, Transportation Code, or a regional
transportation authority operating under Chapter 452,
Transportation Code, and the fuel was delivered into the fuel
supply tank of a motor vehicle operated exclusively by the
authority; or
(11) is a municipality in this state and the fuel was
delivered into the fuel supply tank of a motor vehicle operated
exclusively by the municipality.
SECTION 3. Section 162.368, Tax Code, is repealed.
SECTION 4. 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 5. This Act takes effect September 1, 2015.