Bill Text: MN HF2671 | 2011-2012 | 87th Legislature | Introduced
Bill Title: Motor fuel excise tax rate reduced during periods of high prices.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2012-03-05 - Introduction and first reading, referred to Transportation Policy and Finance [HF2671 Detail]
Download: Minnesota-2011-HF2671-Introduced.html
1.2relating to taxation; motor fuels excise; providing for rate reductions during
1.3periods of high prices; amending Minnesota Statutes 2010, sections 296A.07,
1.4subdivision 1, by adding a subdivision; 296A.08, subdivision 1, by adding a
1.5subdivision.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.7 Section 1. Minnesota Statutes 2010, section 296A.07, subdivision 1, is amended to
1.8read:
1.9 Subdivision 1. Tax imposed. There is imposed an excise tax on gasoline, gasoline
1.10blended with ethanol, and agricultural alcohol gasoline used in producing and generating
1.11power for propelling motor vehicles used on the public highways of this state. The tax
1.12is imposed on the first licensed distributor who received the product in Minnesota. For
1.13purposes of this section, gasoline is defined in section296A.01, subdivisions 10, 18,
1.1420, 23, 24, 25, 32, and 34 . The tax is payable at the time and in the form and manner
1.15prescribed by the commissioner. The tax is payable at the rates specified in subdivision
1.163 or 5, subject to the exceptions and reductions specified in section296A.17 .
1.17EFFECTIVE DATE.This section is effective the day following final enactment.
1.18 Sec. 2. Minnesota Statutes 2010, section 296A.07, is amended by adding a subdivision
1.19to read:
1.20 Subd. 5. Rate reductions; periods of high prices. (a) During the periods specified
1.21in paragraphs (b) and (c), the rates under this subdivision apply in lieu of the rates under
1.22subdivision 3. For periods during which the rates under this subdivision apply, the rates
1.23under subdivision 3, clauses (1) and (2), must be reduced in the same proportion as the
2.1reduction in the rates under paragraph (c), and the surcharge under section 296A.083
2.2does not apply.
2.3 (b) The rates as provided under paragraph (c) apply to any period beginning with the
2.4first day of the calendar month that is at least ten business days after the commissioner
2.5has determined that for two consecutive weeks regular gasoline prices for Minnesota,
2.6as published by the United States Energy Information Administration, fall within the
2.7required price range specified by one of the clauses of paragraph (c). Once imposed, the
2.8rates under a clause of paragraph (c) cease to apply to a period beginning with the first
2.9day of the calendar month that is at least ten business days after the commissioner has
2.10determined that for two consecutive weeks regular gasoline prices for Minnesota, as
2.11published by the United States Energy Information Administration, no longer fall within
2.12the required price range specified for that clause of paragraph (c). The commissioner shall
2.13notify each taxpayer subject to the tax under subdivision 1 of changes in the rates under
2.14this subdivision, either electronically or in writing.
2.15(c) The rates under this paragraph apply in lieu of the rates under subdivision 3,
2.16clause (3), when the commissioner has determined, as provided in paragraph (b), that
2.17prices fall within the specified ranges:
2.18(1) for prices equal to or greater than $4 per gallon, but less than $4.50 per gallon,
2.1920 cents per gallon;
2.20(2) for prices equal to or greater than $4.50 per gallon, but less than $5 per gallon,
2.21ten cents per gallon; and
2.22(3) for prices equal to or greater than $5 per gallon, no tax applies.
2.23EFFECTIVE DATE.This section is effective the day following final enactment.
2.24 Sec. 3. Minnesota Statutes 2010, section 296A.08, subdivision 1, is amended to read:
2.25 Subdivision 1. Tax imposed. (a) There is imposed an excise tax on all special fuel at
2.26the rates specified in subdivision 2 or 7. For purposes of this section, "owner or operator"
2.27means the operation of licensed motor vehicles, whether loaded or empty, whether for
2.28compensation or not for compensation, and whether owned by or leased to the motor
2.29carrier who operates them or causes them to be operated.
2.30(b) For undyed diesel fuel and undyed kerosene, the tax is imposed on the first
2.31licensed distributor who received the product in Minnesota.
2.32(c) For dyed fuel being used illegally in a licensed motor vehicle, the tax is imposed
2.33on the owner or operator of the motor vehicle.
3.1(d) For dyed fuel used in a motor vehicle but subject to a federal exemption,
3.2although no federal tax may be imposed, the owner or operator of the vehicle is liable
3.3for the state tax.
3.4(e) For other fuels, including jet fuel, propane, and compressed natural gas, the tax is
3.5imposed on the distributor, special fuel dealer, or bulk purchaser.
3.6(f) Any person delivering special fuel on which the excise tax has not previously
3.7been paid, into the supply tank of an aircraft or a licensed motor vehicle shall report such
3.8delivery and shall pay, or collect and pay the excise tax on the special fuel so delivered to
3.9the commissioner.
3.10EFFECTIVE DATE.This section is effective the day following final enactment.
3.11 Sec. 4. Minnesota Statutes 2010, section 296A.08, is amended by adding a subdivision
3.12to read:
3.13 Subd. 7. Rate reductions; periods of high prices. (a) During the periods specified
3.14in paragraphs (b) and (c), the rates under this subdivision apply in lieu of the rates under
3.15subdivision 2 and the surcharge under section 296A.083 does not apply.
3.16(b) The rates as provided under paragraph (c) apply to any period beginning with the
3.17first day of the calendar month that is at least ten business days after the commissioner
3.18has determined that for two consecutive weeks on-highway diesel fuel prices for the
3.19midwest (PADD2), as published by the United States Energy Information Administration,
3.20fall within the required price range specified by one of the clauses of paragraph (c). Once
3.21imposed, the rates under a clause of paragraph (c) cease to apply to a period beginning with
3.22the first day of the calendar month that is at least ten business days after the commissioner
3.23has determined that for two consecutive weeks on-highway diesel fuel prices for the
3.24midwest (PADD2), as published by the United States Energy Information Administration,
3.25no longer fall within the required price range specified for that clause of paragraph (c).
3.26The commissioner shall notify each taxpayer subject to the tax under subdivision 1 of
3.27changes in the rates under this subdivision, either electronically or in writing.
3.28(c) The rates under this paragraph apply when the commissioner has determined, as
3.29provided in paragraph (b), that prices fall within the specified ranges:
3.30(1) for prices equal to or greater than $4.50 per gallon, but less than $5 per gallon,
3.3120 cents per gallon;
3.32(2) for prices equal to or greater than $5 per gallon, but less than $5.50 per gallon,
3.33ten cents per gallon; and
3.34(3) for prices equal to or greater than $5.50 per gallon, no tax applies.
4.1EFFECTIVE DATE.This section is effective the day following final enactment.
1.3periods of high prices; amending Minnesota Statutes 2010, sections 296A.07,
1.4subdivision 1, by adding a subdivision; 296A.08, subdivision 1, by adding a
1.5subdivision.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.7 Section 1. Minnesota Statutes 2010, section 296A.07, subdivision 1, is amended to
1.8read:
1.9 Subdivision 1. Tax imposed. There is imposed an excise tax on gasoline, gasoline
1.10blended with ethanol, and agricultural alcohol gasoline used in producing and generating
1.11power for propelling motor vehicles used on the public highways of this state. The tax
1.12is imposed on the first licensed distributor who received the product in Minnesota. For
1.13purposes of this section, gasoline is defined in section
1.1420, 23, 24, 25, 32, and 34
1.15prescribed by the commissioner. The tax is payable at the rates specified in subdivision
1.163 or 5, subject to the exceptions and reductions specified in section
1.17EFFECTIVE DATE.This section is effective the day following final enactment.
1.18 Sec. 2. Minnesota Statutes 2010, section 296A.07, is amended by adding a subdivision
1.19to read:
1.20 Subd. 5. Rate reductions; periods of high prices. (a) During the periods specified
1.21in paragraphs (b) and (c), the rates under this subdivision apply in lieu of the rates under
1.22subdivision 3. For periods during which the rates under this subdivision apply, the rates
1.23under subdivision 3, clauses (1) and (2), must be reduced in the same proportion as the
2.1reduction in the rates under paragraph (c), and the surcharge under section 296A.083
2.2does not apply.
2.3 (b) The rates as provided under paragraph (c) apply to any period beginning with the
2.4first day of the calendar month that is at least ten business days after the commissioner
2.5has determined that for two consecutive weeks regular gasoline prices for Minnesota,
2.6as published by the United States Energy Information Administration, fall within the
2.7required price range specified by one of the clauses of paragraph (c). Once imposed, the
2.8rates under a clause of paragraph (c) cease to apply to a period beginning with the first
2.9day of the calendar month that is at least ten business days after the commissioner has
2.10determined that for two consecutive weeks regular gasoline prices for Minnesota, as
2.11published by the United States Energy Information Administration, no longer fall within
2.12the required price range specified for that clause of paragraph (c). The commissioner shall
2.13notify each taxpayer subject to the tax under subdivision 1 of changes in the rates under
2.14this subdivision, either electronically or in writing.
2.15(c) The rates under this paragraph apply in lieu of the rates under subdivision 3,
2.16clause (3), when the commissioner has determined, as provided in paragraph (b), that
2.17prices fall within the specified ranges:
2.18(1) for prices equal to or greater than $4 per gallon, but less than $4.50 per gallon,
2.1920 cents per gallon;
2.20(2) for prices equal to or greater than $4.50 per gallon, but less than $5 per gallon,
2.21ten cents per gallon; and
2.22(3) for prices equal to or greater than $5 per gallon, no tax applies.
2.23EFFECTIVE DATE.This section is effective the day following final enactment.
2.24 Sec. 3. Minnesota Statutes 2010, section 296A.08, subdivision 1, is amended to read:
2.25 Subdivision 1. Tax imposed. (a) There is imposed an excise tax on all special fuel at
2.26the rates specified in subdivision 2 or 7. For purposes of this section, "owner or operator"
2.27means the operation of licensed motor vehicles, whether loaded or empty, whether for
2.28compensation or not for compensation, and whether owned by or leased to the motor
2.29carrier who operates them or causes them to be operated.
2.30(b) For undyed diesel fuel and undyed kerosene, the tax is imposed on the first
2.31licensed distributor who received the product in Minnesota.
2.32(c) For dyed fuel being used illegally in a licensed motor vehicle, the tax is imposed
2.33on the owner or operator of the motor vehicle.
3.1(d) For dyed fuel used in a motor vehicle but subject to a federal exemption,
3.2although no federal tax may be imposed, the owner or operator of the vehicle is liable
3.3for the state tax.
3.4(e) For other fuels, including jet fuel, propane, and compressed natural gas, the tax is
3.5imposed on the distributor, special fuel dealer, or bulk purchaser.
3.6(f) Any person delivering special fuel on which the excise tax has not previously
3.7been paid, into the supply tank of an aircraft or a licensed motor vehicle shall report such
3.8delivery and shall pay, or collect and pay the excise tax on the special fuel so delivered to
3.9the commissioner.
3.10EFFECTIVE DATE.This section is effective the day following final enactment.
3.11 Sec. 4. Minnesota Statutes 2010, section 296A.08, is amended by adding a subdivision
3.12to read:
3.13 Subd. 7. Rate reductions; periods of high prices. (a) During the periods specified
3.14in paragraphs (b) and (c), the rates under this subdivision apply in lieu of the rates under
3.15subdivision 2 and the surcharge under section 296A.083 does not apply.
3.16(b) The rates as provided under paragraph (c) apply to any period beginning with the
3.17first day of the calendar month that is at least ten business days after the commissioner
3.18has determined that for two consecutive weeks on-highway diesel fuel prices for the
3.19midwest (PADD2), as published by the United States Energy Information Administration,
3.20fall within the required price range specified by one of the clauses of paragraph (c). Once
3.21imposed, the rates under a clause of paragraph (c) cease to apply to a period beginning with
3.22the first day of the calendar month that is at least ten business days after the commissioner
3.23has determined that for two consecutive weeks on-highway diesel fuel prices for the
3.24midwest (PADD2), as published by the United States Energy Information Administration,
3.25no longer fall within the required price range specified for that clause of paragraph (c).
3.26The commissioner shall notify each taxpayer subject to the tax under subdivision 1 of
3.27changes in the rates under this subdivision, either electronically or in writing.
3.28(c) The rates under this paragraph apply when the commissioner has determined, as
3.29provided in paragraph (b), that prices fall within the specified ranges:
3.30(1) for prices equal to or greater than $4.50 per gallon, but less than $5 per gallon,
3.3120 cents per gallon;
3.32(2) for prices equal to or greater than $5 per gallon, but less than $5.50 per gallon,
3.33ten cents per gallon; and
3.34(3) for prices equal to or greater than $5.50 per gallon, no tax applies.
4.1EFFECTIVE DATE.This section is effective the day following final enactment.
