By Wentworth S.B. No. 1283
76R7829 CBH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the authority of certain political subdivisions to
1-3 impose a gasoline tax in the political subdivision and to the use
1-4 of the revenue from the tax.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Title 3, Tax Code, is amended by adding Subtitle
1-7 E to read as follows:
1-8 SUBTITLE E. LOCAL MOTOR FUEL TAXES
1-9 CHAPTER 371. LOCAL GASOLINE TAX
1-10 SUBCHAPTER A. GENERAL PROVISIONS
1-11 Sec. 371.001. DEFINITIONS. In this chapter:
1-12 (1) "Aviation fuel dealer" has the meaning assigned by
1-13 Section 153.001.
1-14 (2) "Dealer" has the meaning assigned by Section
1-15 153.001.
1-16 (3) "Distributor" has the meaning assigned by Section
1-17 153.001.
1-18 (4) "Gasoline" has the meaning assigned by Section
1-19 153.001.
1-20 (5) "Gasoline jobber" has the meaning assigned by
1-21 Section 153.001.
1-22 (6) "Motor vehicle" has the meaning assigned by
1-23 Section 153.001.
1-24 (7) "Public highway" has the meaning assigned by
2-1 Section 153.001.
2-2 (8) "Sale" has the meaning assigned by Section
2-3 153.001.
2-4 (Sections 371.002-371.020 reserved for expansion
2-5 SUBCHAPTER B. AUTHORITY OF CERTAIN POLITICAL SUBDIVISIONS TO
2-6 IMPOSE GASOLINE TAX
2-7 Sec. 371.021. GASOLINE TAX AUTHORIZED. (a) A political
2-8 subdivision of this state by order may adopt or abolish a local one
2-9 cent gasoline tax if the adoption or abolition is authorized at an
2-10 election in which a majority of the qualified voters of the
2-11 political subdivision voting at an election held for that purpose
2-12 approve the adoption or abolition.
2-13 (b) A tax authorized by this chapter is imposed at the rate
2-14 of one cent on each gallon or fractional gallon of gasoline sold in
2-15 the political subdivision to propel a motor vehicle on the public
2-16 highways.
2-17 (c) The tax collected under this chapter may be used only by
2-18 the political subdivision to repair or maintain roads in the
2-19 political subdivision that the political subdivision has the
2-20 authority under other law to repair or maintain.
2-21 Sec. 371.022. ELECTION. (a) The governing body of a
2-22 political subdivision may order an election on the question of
2-23 imposing or abolishing the local gasoline tax under this chapter.
2-24 (b) The governing body shall order an election on the
2-25 question of imposing or abolishing the tax if the governing body
2-26 receives a petition requesting the election signed by a number of
2-27 registered voters of the political subdivision equal to at least
3-1 five percent of the total vote received in the political
3-2 subdivision by all candidates for governor in the most recent
3-3 gubernatorial general election.
3-4 (c) The ballot at an election to impose the tax must be
3-5 printed to permit voting for or against the proposition:
3-6 "Authorizing ________ (insert name of political subdivision) to
3-7 impose a local gasoline tax at the rate of one cent per gallon of
3-8 gasoline for the purpose of repairing and maintaining roads."
3-9 (d) The ballot at an election to abolish the tax must be
3-10 printed to permit voting for or against the proposition:
3-11 "Abolishing the local gasoline tax in __________ (insert name of
3-12 political subdivision)."
3-13 (e) The Election Code governs an election held under this
3-14 chapter.
3-15 Sec. 371.023. EFFECTIVE DATES. The imposition or abolition
3-16 of a tax imposed under this chapter takes effect on the date
3-17 prescribed by the order imposing or abolishing the tax.
3-18 Sec. 371.024. FREQUENCY OF ELECTION. An election under this
3-19 chapter in a political subdivision may not be held before the first
3-20 anniversary of the date of a previous election under this chapter
3-21 in the political subdivision.
3-22 (Sections 371.025-371.050 reserved for expansion
3-23 SUBCHAPTER C. IMPOSITION OF TAX
3-24 Sec. 371.051. IMPOSITION OF TAX. In a political subdivision
3-25 that has adopted the tax authorized by this chapter, there is
3-26 imposed a one cent tax on each gallon of gasoline, or fractional
3-27 part, sold in the political subdivision to a person who uses or
4-1 consumes the gasoline to propel a motor vehicle on the public
4-2 highways of this state.
4-3 Sec. 371.052. COMPUTATION OF TAX. (a) The amount of the
4-4 tax shall be computed and paid on the volume of gallons of taxable
4-5 gasoline sold in the political subdivision to persons who use or
4-6 consume the gasoline to propel a motor vehicle on the public
4-7 highways of this state.
4-8 (b) If a political subdivision is not satisfied with a tax
4-9 return or the amount of tax required to be paid, the political
4-10 subdivision may compute and determine the amount required to be
4-11 paid on the basis of the beginning inventory, showing the total
4-12 gallons of gasoline in storage at the location on the first day of
4-13 the calendar month, plus the total gallons of gasoline delivered
4-14 into the storage facility during the month, less the total gallons
4-15 of gasoline in the storage facility at the end of the calendar
4-16 month.
4-17 Sec. 371.053. EXCEPTIONS. The tax imposed by this chapter
4-18 does not apply to gasoline:
4-19 (1) delivered by a permitted distributor to a common
4-20 or contract carrier, an oceangoing vessel, including a ship,
4-21 tanker, or boat, or a barge for export from this state if the
4-22 gasoline is promptly moved outside the state;
4-23 (2) sold to the federal government for its exclusive
4-24 use;
4-25 (3) delivered by a permitted distributor into a
4-26 storage facility of a permitted aviation fuel dealer from which
4-27 gasoline will be delivered solely into the fuel supply tanks of
5-1 aircraft or aircraft servicing equipment;
5-2 (4) sold by one aviation fuel dealer to another
5-3 aviation fuel dealer who will deliver the aviation fuel exclusively
5-4 into the fuel supply tanks of aircraft or aircraft servicing
5-5 equipment;
5-6 (5) sold to a public school district in this state for
5-7 its exclusive use; or
5-8 (6) sold to a commercial transportation company that
5-9 provides public school transportation services to a school district
5-10 under Section 34.008, Education Code, and used by the company
5-11 exclusively to provide those services.
5-12 Sec. 371.054. COLLECTION OF TAX; ALLOWANCE. (a) A person
5-13 who makes a sale of gasoline in the political subdivision that is
5-14 subject to taxation under this chapter shall at the time of sale
5-15 collect the tax from the purchaser or recipient of the gasoline.
5-16 (b) The seller shall add the tax to the price of the
5-17 gasoline, and when added, the tax is:
5-18 (1) a part of the sales price;
5-19 (2) a debt owed to the seller by the person purchasing
5-20 the gasoline; and
5-21 (3) recoverable at law in the same manner as the
5-22 charge for the gasoline.
5-23 (c) The tax on two percent of the taxable gallons of
5-24 gasoline sold in the political subdivision shall be allocated to
5-25 the distributor, gasoline jobber, dealer, or other person paying
5-26 the tax to the political subdivision under this chapter for the
5-27 expenses of collecting, accounting for, reporting, and remitting
6-1 the tax collected and of keeping records.
6-2 Sec. 371.055. REPORTS AND PAYMENTS. (a) A distributor,
6-3 gasoline jobber, dealer, or other person required to collect the
6-4 tax imposed by this chapter in a political subdivision shall file
6-5 each report or supplement required by the political subdivision and
6-6 remit the amount of tax required to be collected.
6-7 (b) The report shall be executed by the person collecting
6-8 the tax or by that person's representative using a form provided or
6-9 approved by the political subdivision. The report must include
6-10 complete and detailed information, as required by the political
6-11 subdivision, of gasoline transactions in the political subdivision.
6-12 (c) A person required to file a report under this section
6-13 who has not sold any gasoline in the political subdivision during
6-14 the reporting period shall file the report with the political
6-15 subdivision and include that information in the report. Failure to
6-16 obtain a form from the political subdivision does not excuse a
6-17 person from filing a report under this section.
6-18 Sec. 371.056. REFUND. (a) A person who has paid the tax
6-19 imposed by this chapter on gasoline used by the person for a
6-20 purpose other than to propel a motor vehicle on the public highways
6-21 of this state or for a use exempted under Section 371.053 may file
6-22 a claim for a refund.
6-23 (b) A political subdivision shall prescribe the procedures a
6-24 person must use to obtain a refund under this section.
6-25 (Sections 371.057-371.100 reserved for expansion
6-26 SUBCHAPTER D. COLLECTION OF TAX
6-27 Sec. 371.101. POLITICAL SUBDIVISION TO COLLECT AND
7-1 ADMINISTER TAXES. (a) The political subdivision shall administer,
7-2 collect, and enforce any tax imposed in the political subdivision
7-3 under this chapter.
7-4 (b) A political subdivision by order may prescribe
7-5 penalties, including interest charges, for failure to keep records
7-6 required by the political subdivision, to report when required, or
7-7 to pay the tax when due.
7-8 (c) The attorney acting for the political subdivision may
7-9 bring suit against a person who fails to collect a tax under this
7-10 chapter and to pay it over to the political subdivision as
7-11 required.
7-12 Sec. 371.102. REQUIRED PERMIT. A political subdivision may
7-13 require a dealer, gasoline jobber, distributor, or other person
7-14 required to collect, report, and pay a tax imposed by this chapter
7-15 to obtain a permit from the political subdivision.
7-16 (Sections 371.103-371.150 reserved for expansion
7-17 SUBCHAPTER E. DEPOSIT AND
7-18 USE OF TAXES
7-19 Sec. 371.151. DEPOSIT OF LOCAL GASOLINE TAX. A political
7-20 subdivision shall deposit revenue from the tax imposed under this
7-21 section in a special account in the general fund of the political
7-22 subdivision.
7-23 Sec. 371.152. USE OF FUND. The political subdivision may
7-24 use money in the special account only to repair and maintain roads
7-25 in the political subdivision that the political subdivision has the
7-26 authority under other law to repair or maintain.
7-27 SECTION 2. Section 153.015, Tax Code, is amended to read as
8-1 follows:
8-2 Sec. 153.015. OTHER MOTOR FUEL TAXES PROHIBITED; EXCEPTION.
8-3 Except as provided by Chapter 371, the [The] taxes imposed by this
8-4 chapter are in lieu of any other excise or occupation tax imposed
8-5 by a political subdivision of the state on the sale, use, or
8-6 distribution of gasoline, diesel fuel, or liquefied gas.
8-7 SECTION 3. This Act takes effect on the date on which the
8-8 constitutional amendment proposed by S.J.R. No. ____, 76th
8-9 Legislature, Regular Session, 1999, authorizing the imposition of a
8-10 local gasoline tax, takes effect. If that amendment is not
8-11 approved by the voters, this Act has no effect.