SCS CSHB 122(FIN) AM S: "An Act imposing a reporting requirement on certain sales, transfers, and consumption or uses of motor fuel, increasing the motor fuel tax on motor fuel used in and on watercraft, and authorizing payment of a portion of that tax as refunds to municipalities; and providing for an effective date."
00SENATE CS FOR CS FOR HOUSE BILL NO. 122(FIN) am S 01 "An Act imposing a reporting requirement on certain sales, transfers, and 02 consumption or uses of motor fuel, increasing the motor fuel tax on motor fuel 03 used in and on watercraft, and authorizing payment of a portion of that tax as 04 refunds to municipalities; and providing for an effective date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 43.40.010(a) is amended to read: 07 (a) There is levied a tax of eight cents a gallon on all motor fuel sold or 08 otherwise transferred within the state, except that 09 (1) the tax on aviation gasoline is four and seven-tenths cents a gallon; 10 and 11 (2) [THE TAX ON MOTOR FUEL USED IN AND ON 12 WATERCRAFT OF ALL DESCRIPTIONS IS FIVE CENTS A GALLON; AND 13 (3)] the tax on all aviation fuel other than gasoline is three and two-tenths cents a gallon. 14 * Sec. 2. AS 43.40.010(b) is amended to read:
01 (b) There is levied a tax of eight cents a gallon on all motor fuel consumed 02 by a user, except that 03 (1) the tax on aviation gasoline consumed is four and seven-tenths cents 04 a gallon; and 05 (2) [THE TAX ON MOTOR FUEL USED IN AND ON 06 WATERCRAFT OF ALL DESCRIPTIONS IS FIVE CENTS A GALLON; AND 07 (3)] the tax on all aviation fuel other than gasoline is three and two-tenths cents a gallon. 08 * Sec. 3. AS 43.40.010(c) is amended to read: 09 (c) Every dealer who sells or otherwise transfers motor fuel in the state shall 10 collect the tax at the time of sale, and remit the total tax collected, together with the 11 tax return required by AS 43.40.075, during each calendar month of each year to the 12 department by the last day of each succeeding month. Every user shall likewise remit 13 the tax accrued on motor fuel actually used by the user during each month, together 14 with the tax return required by AS 43.40.075. If the monthly tax remittance and 15 return are [IS] timely filed, one percent of the total monthly tax due, limited to a 16 maximum of $100, may be deducted and retained to cover the expense of accounting 17 and filing the monthly tax remittance and return. [AT THE TIME THE 18 REMITTANCE IS MADE, EACH DEALER OR USER SHALL SUBMIT A 19 STATEMENT TO THE DEPARTMENT SHOWING ALL FUEL WHICH THE 20 DEALER OR USER HAS DISTRIBUTED OR USED DURING THE MONTH.] 21 * Sec. 4. AS 43.40.010(f) is amended to read: 22 (f) The proceeds from the revenue from the tax on motor fuel used in or on 23 [BOATS AND] watercraft of all descriptions shall be deposited in a special watercraft 24 fuel tax account in the general fund. The legislature may appropriate from this 25 account as follows: 26 (1) an amount equal to 37.5 percent of the proceeds from the 27 revenue from the tax may be appropriated for the purpose of paying refunds 28 under AS 43.40.150 to municipalities 29 (A) that, during the state fiscal year in which the refund is 30 payable, expend or propose to expend an amount at least equal to the 31 amount received by the municipality as a refund under AS 43.40.150 for
01 water and harbor facilities that are 02 (i) municipally owned and operated; or 03 (ii) state facilities, other than facilities of the Alaska 04 marine highway system, and that become municipally owned and 05 operated water and harbor facilities by transfer from the state; 06 appropriations may be made for the purpose of paying these 07 refunds to a municipality only after transfer of all state water and 08 harbor facilities in the municipality from the state to a 09 municipality; or 10 (B) for new or expanded water and harbor facilities to be 11 constructed by a municipality, but only if the municipality has presented 12 to the commissioner of transportation and public facilities a plan for the 13 construction of new or expanded facilities in the municipality, and the 14 commissioner of transportation and public facilities finds, and certifies to 15 the commissioner of revenue, that the making of the refund payment under 16 this subparagraph will materially assist the municipality in planning, 17 designing, constructing, and operating the new or expanded water and 18 harbor facilities; and 19 (2) the balance of the proceeds from the revenue from the tax may 20 be appropriated for water and harbor facilities. 21 * Sec. 5. AS 43.40 is amended by adding a new section to read: 22 Sec. 43.40.075. TAX RETURN FILING REQUIREMENTS. (a) A person 23 subject to the motor fuel tax shall file a return, made under penalty of unsworn 24 falsification, on a form prescribed by the department, reporting 25 (1) motor fuel sold, transferred, and used in the state by category 26 defined by the department; and 27 (2) sales, transfers, and uses of motor fuel that are exempt from 28 taxation under this chapter. 29 (b) The motor fuel tax return must show the type of motor fuel sold, 30 transferred, or used, the nature of any exemption, to whom exempt fuel was sold or 31 transferred, and other information required on the form.
01 (c) The return, including all required schedules, documentation, and reports, 02 shall be filed with the tax remitted by the deadline for remittance of the motor fuel tax 03 established in AS 43.40.010(c). 04 * Sec. 6. AS 43.40 is amended by adding a new section to read: 05 ARTICLE 2. WATERCRAFT FUEL TAX REFUNDS TO MUNICIPALITIES. 06 Sec. 43.40.150. REFUNDS TO MUNICIPALITIES. (a) Except as provided 07 in (b) of this section, the commissioner shall pay from appropriations under 08 AS 43.40.010(f)(1) 09 (1) to each unified municipality, to each city located in the unorganized 10 borough, and to each city located in a borough if the borough does not exercise 11 responsibility for water and harbor facilities on an areawide or nonareawide basis the 12 tax revenue collected in the municipality from taxes levied on motor fuel used in and 13 on watercraft of all descriptions under this chapter that is deposited in the special 14 watercraft fuel tax account and is allocable under AS 43.40.010(f)(1); 15 (2) to each city located within a borough that exercises responsibility 16 for water and harbor facilities on an areawide basis, or exercises that responsibility on 17 a nonareawide basis and all water and harbor facilities within cities within the borough 18 are owned and operated by cities, 50 percent of the amount of tax revenue collected 19 in the city from taxes levied on motor fuel used in and on watercraft of all descriptions 20 under this chapter that is deposited in the special watercraft fuel tax account and is 21 allocable under AS 43.40.010(f)(1); and 22 (3) to each borough that exercises responsibility for water and harbor 23 facilities on an areawide basis, or exercises that responsibility on a nonareawide basis 24 and all water and harbor facilities within cities within the borough are owned and 25 operated by cities, 26 (A) the tax revenue collected in the area of the borough outside 27 cities from taxes levied on motor fuel used in and on watercraft of all 28 descriptions under this chapter that is deposited in the special watercraft fuel 29 tax account and is allocable under AS 43.40.010(f)(1); and 30 (B) 50 percent of the amount of tax revenue collected in cities 31 located within the borough from taxes levied on motor fuel used in and on
01 watercraft of all descriptions under this chapter that is deposited in the special 02 watercraft fuel tax account and is allocable under AS 43.40.010(f)(1). 03 (b) Notwithstanding the provisions of (a)(2) and (a)(3)(B) of this section, the 04 commissioner shall pay 05 (1) to each city that is located in a borough incorporated after the 06 effective date of this Act the following percentages of the tax revenue collected in the 07 city from taxes levied on motor fuel used in and on watercraft of all descriptions under 08 this chapter that is deposited in the special watercraft fuel tax account and is allocable 09 under AS 43.40.010(f)(1): 10 (A) 90 percent of the taxes collected during the calendar year 11 in which the borough is incorporated; 12 (B) 80 percent of the taxes collected during the first calendar 13 year after the calendar year in which the borough is incorporated; 14 (C) 70 percent of the taxes collected during the second calendar 15 year after the calendar year in which the borough is incorporated; and 16 (D) 60 percent of the taxes collected during the third calendar 17 year after the calendar year in which the borough is incorporated; and 18 (2) to each borough that is incorporated after the effective date of this 19 Act the following percentages of the tax revenue collected in the cities located within 20 the borough from taxes levied on motor fuel used in and on watercraft of all 21 descriptions under this chapter that is deposited in the special watercraft fuel tax 22 account and is allocable under AS 43.40.010(f)(1): 23 (A) 10 percent of the taxes collected during the calendar year 24 in which the borough is incorporated; 25 (B) 20 percent of the taxes collected during the first calendar 26 year after the calendar year in which the borough is incorporated; 27 (C) 30 percent of the taxes collected during the second calendar 28 year after the calendar year in which the borough is incorporated; and 29 (D) 40 percent of the taxes collected during the third calendar 30 year after the calendar year in which the borough is incorporated. 31 (c) Notwithstanding the provisions of (b) of this section, a city may adopt an
01 ordinance to transfer a portion of the funds received under (b)(1) of this section to the 02 borough in which the city is located. 03 (d) If a person sells or transfers motor fuel used in or on a watercraft of any 04 description, in addition to the information required on the tax return filed under 05 AS 43.40.075, 06 (1) the person must report the location in which the motor fuel was first 07 sold or transferred; and 08 (2) if the sale or transfer occurred within a municipality other than the 09 municipality in which the motor fuel was purchased or stored, the person shall submit 10 to the department a statement disclosing the motor fuel sales or transfers that the 11 person made during the preceding calendar month outside the municipality in which 12 the motor fuel was purchased or stored. 13 (e) In this section, "tax revenue collected," as used with reference to a 14 municipality, means the revenue derived from the tax levied on motor fuel used in and 15 on watercraft of all descriptions under this chapter that is collected in the municipality 16 in which the final sale or transfer occurred. 17 * Sec. 7. This Act takes effect July 1, 1995.