SB 569 Text

ENGROSSED
COMMITTEE SUBSTITUTE
FOR
Senate Bill No. 569
(By Senators Plymale, Jenkins and Kessler)
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[Originating in the Committee on Finance;
reported February 20, 2007.]
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A BILL to amend and reenact §11-15-18b of the Code of West Virginia, 1931, as amended, relating to modifying how funds from the motor fuel excise tax are dedicated; creating the Special Railroad and Intermodal Enhancement Fund; and specifying permissible expenditures from the fund.

Be it enacted by the Legislature of West Virginia:
That §11-15-18b of the Code of West Virginia, 1931, as amended, be amended and reenacted to read as follows:
ARTICLE 15. CONSUMERS SALES AND SERVICE TAX.

§11-15-18b. Tax on motor fuel effective the first day of January, two thousand four.

(a) General. -- Effective the first day of January, two thousand four, all sales of motor fuel subject to the flat rate of the tax imposed by section five, article fourteen-c of this chapter are subject to the tax imposed by this article which shall comprise the variable component of the tax imposed by said section and be collected and remitted at the time the tax imposed by said section is remitted. Sales of motor fuel upon which the tax imposed by this article has been paid shall not thereafter be again taxed under the provisions of this article. This section is construed so that all gallons of motor fuel sold and delivered, or delivered, in this state are taxed one time.
(b) Measure of tax. -- The measure of tax imposed by this article on sales of motor fuel is the average wholesale price as defined and determined in section five, article fourteen-c of this chapter. For purposes of maintaining revenue for highways, and recognizing that the tax imposed by this article is generally imposed on gross proceeds from sales to ultimate consumers, whereas the tax on motor fuel herein is imposed on the average wholesale price of the motor fuel; in no case, for the purposes of taxation under this article, shall the average wholesale price be determined to be less than ninety-seven cents per gallon of motor fuel for all gallons of motor fuel sold during the reporting period, notwithstanding any provision of this article to the contrary.
(c) Definitions. -- For purposes of this article, the terms "gasoline" and "special fuel" are defined as provided in section two, article fourteen-c of this chapter. Other terms used in this section have the same meaning as when used in a similar context in said article.
(d) Tax return and tax due. -- The tax imposed by this article on sales of motor fuel shall be paid by each taxpayer on or before the last day of the calendar month by check, bank draft, certified check or money order payable to the Tax Commissioner for the amount of tax due for the preceding month, notwithstanding any provision of this article to the contrary: Provided, That the commissioner may require all or certain taxpayers to file tax returns and payments electronically. The return required by the commissioner shall accompany the payment of tax: Provided, however, That if no tax is due, the return required by the commissioner shall be completed and filed on or before the last day of the month.
(e) Compliance. -- To facilitate ease of administration and compliance by taxpayers, the Tax Commissioner shall require persons liable for the tax imposed by this article on sales of motor fuel to file a combined return and make a combined payment of the tax due under this article on sales of motor fuel and the tax due under article fourteen-c of this chapter on motor fuel. In order to encourage use of a combined return each month and the making of a single payment each month for both taxes, the due date of the return and tax due under said article is the last day of each month, notwithstanding any provision in said article to the contrary.
(f) Dedication of tax ~~to highways~~. -- All tax collected under the provisions of this section, after deducting the amount of any refunds lawfully paid, shall be deposited in the Road Fund in the State Treasurer's office and used only for the purpose of construction, reconstruction, maintenance and repair of highways and payment of principal and interest on state bonds issued for highway purposes: Provided, That notwithstanding any provision to the contrary, any tax collected on the sale of aviation fuel after deducting the amount of any refunds lawfully paid shall be deposited in the State Treasurer's office and transferred to the State Aeronautical Commission to be used for the purpose of matching federal funds available for the reconstruction, maintenance and repair of public airports and airport runways: Provided, however, That if, upon completion of a study relating to the feasibility of the planning, development, construction and operation of the intermodal facility at Prichard, West Virginia, the Public Port Authority concludes that the planning, development, construction and operation of the intermodal facility is sustainable, and notwithstanding any provision of the code to the contrary, up to four million three hundred thousand dollars of all tax collected, annually, under the provisions of this section from the motor fuel excise tax on special fuels used in railroad locomotives after deducting the amount of any refunds lawfully paid shall be deposited in the special fund hereby created and established in the State Treasury and designated as Special Railroad and Intermodal Enhancement Fund and transferred to the Public Port Authority. The money deposited in the fund shall be used only for the purpose of construction, reconstruction, maintenance and repair of railways, the construction of railway related structures and payment of principal and interest on state bonds issued for railway purposes, as approved by the Public Port Authority: Provided further, That the Public Port Authority is hereby authorized to promulgate rules pursuant to article three, chapter twenty-nine-a of this code to implement the provisions of this subsection. The study relating to the feasibility of planning, development, construction and operation of an intermodal facility at Prichard, West Virginia shall not be considered completed pursuant to this section until the study has been completed by the Public Port Authority. Notwithstanding any other provision of this subsection to the contrary, all provisions of this subsection relating to requiring the deposit of moneys in the Special Railroad and Intermodal Enhancement Fund shall expire on the thirtieth day of June, two thousand sixteen.
(g) Construction. -- This section is not construed as taxing any sale of motor fuel which this state is prohibited from taxing under the constitution of this state or the constitution or laws of the United States.
(h) Effective date. -- The provisions of this section take effect on the first day of January, two thousand four. The provisions of this section enacted during the two thousand seven Legislative session take effect on the first day of January, two thousand eight.

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