Bill Text: TX SB1933 | 2019-2020 | 86th Legislature | Introduced
Bill Title: Relating to movements of gasoline and diesel fuel within the bulk transfer system.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2019-04-24 - Left pending in committee [SB1933 Detail]
Download: Texas-2019-SB1933-Introduced.html
By: Hinojosa | S.B. No. 1933 | |
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relating to movements of gasoline and diesel fuel within the bulk | ||
transfer system. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 162.001 Tax Code, is amended by amending | ||
subsections (11), (12), and (57) and by adding subsections (42-a) | ||
and (63) to read as follows: | ||
(11) "Bulk transfer" means a transfer of motor fuel | ||
from one location to another within the United States by pipeline or | ||
marine movement within a bulk transfer/terminal system, including: | ||
(A) a marine vessel movement of motor fuel owned | ||
by a licensed supplier or permissive supplier[ |
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(B) a pipeline movement of motor fuel from a | ||
refinery, a motor fuel storage facility, or terminal to a terminal | ||
or a motor fuel storage facility; | ||
(C) a book transfer or in-tank transfer of motor | ||
fuel within a terminal or motor fuel storage facility between | ||
licensed suppliers before completion of removal across the rack; | ||
and | ||
(D) a two-party exchange between licensed | ||
suppliers or between licensed suppliers and permissive suppliers. | ||
(12) "Bulk transfer/terminal system" means the motor | ||
fuel distribution system consisting of refineries, pipelines, | ||
marine vessels, motor fuel storage facilities, and IRS-approved | ||
terminals. Motor fuel is in the bulk transfer/terminal system if | ||
the motor fuel is in a refinery, a pipeline, a motor fuel storage | ||
facility, a terminal or a marine vessel transporting motor fuel | ||
owned by a licensed supplier or a permissive supplier[ |
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fuel is not in the bulk transfer/terminal system if the motor fuel | ||
is in[ |
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(A) a bulk plant that is not part of a refinery or | ||
terminal; | ||
(B) the motor fuel supply tank of an engine or a | ||
motor vehicle; or | ||
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(C)[ |
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other equipment suitable for ground transportation. | ||
(42-a) “Motor fuel storage facility” means a storage | ||
facility supplied by pipeline or marine vessel that does not have a | ||
rack for removal of motor fuel by truck or railcar or by any other | ||
means of conveyance that is outside the bulk transfer/terminal | ||
system. | ||
(57) "Supplier" means a person that: | ||
(A) is subject to the general taxing jurisdiction | ||
of this state; | ||
(B) is registered under Section 4101, Internal | ||
Revenue Code, for transactions in motor fuel in the bulk | ||
transfer/terminal distribution system, and is: | ||
(i) a position holder in motor fuel in a | ||
terminal or refinery in this state and may concurrently also be a | ||
position holder in motor fuel in another state; or | ||
(ii) a person who receives motor fuel in this | ||
state under a two-party exchange; [ |
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(iii) a person who owns motor fuel in a | ||
marine vessel in this state; and | ||
(C) may also be a terminal operator, provided that a terminal | ||
operator is not considered to also be a "supplier" based solely on | ||
the fact that the terminal operator handles motor fuel consigned to | ||
it within a terminal. | ||
(63) A marine vessel includes a marine barge. | ||
SECTION 2. Section 162.101 Tax Code, is amended by amending | ||
(e-1) to read as follows: | ||
(e-1) A tax is imposed on gasoline if: [ |
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(1) the gasoline is otherwise exempt from taxation under | ||
Section 162.104(a)(4) or (7) and [ |
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truck or a railcar in this state to a person who does not hold a | ||
license under Section 162.105(1), (2), (3), (4), or (6). The person | ||
who[ |
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remit the tax[ |
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(2) the gasoline is otherwise exempt from taxation under | ||
162.104(a)(7) and the gasoline is sold into a marine vessel in this | ||
state to a person who does not hold a license under Section | ||
162.105(1), (2), (3), (4), or (6) unless the exporter of record is | ||
licensed under 162.105(1), (2), (3), (4), or (6). The person who | ||
sold the gasoline is liable for and shall collect and remit the tax. | ||
SECTION 3. Section 162.104 Tax Code, is amended by amending | ||
(a)(7) to read as follows: | ||
(7) exported to a foreign country if the bill of lading or | ||
shipping documents indicate[ |
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is actually exported to the foreign country; | ||
SECTION 4. Section 162.201 Tax Code, is amended by amending | ||
(e-1) to read as follows: | ||
(e-1) A tax is imposed on diesel fuel [ |
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(1) the diesel fuel is otherwise exempt from taxation under | ||
Section 162.204(a)(4) or (7) and the diesel fuel is sold into a | ||
truck or a railcar in this state to a person who does not hold a | ||
license under Section 162.205(a)(1), (2), (3), (4), or (6). The | ||
person who [that] sold the diesel fuel is liable for and shall | ||
collect and remit the tax[ |
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(2) the diesel fuel is otherwise exempt from taxation under | ||
Section 162.204(a)(7) and the diesel fuel is sold into a marine | ||
vessel in this state to a person who does not hold a license under | ||
Section 162.105(1), (2), (3), (4), or (6), unless the exporter of | ||
record is licensed under Section 162.105(1), (2), (3), (4), or (6). | ||
The person who sold the diesel fuel is liable for and shall collect | ||
and remit the tax. | ||
SECTION 5. Section 162.204 Tax Code, is amended by amending | ||
(a)(7) to read as follows: | ||
(7) exported to a foreign country if the bill of lading or | ||
shipping documents indicate[ |
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is actually exported to the foreign country; | ||
SECTION 6. This Act takes effect September 1, 2019. |