PRINTER'S NO. 1433
No. 1256 Session of 1999
INTRODUCED BY WILT, PERZEL, SNYDER, PHILLIPS, CORNELL, GODSHALL,
BATTISTO, McCALL, SAYLOR, JADLOWIEC, FORCIER, MAHER,
LaGROTTA, McILHATTAN, BELFANTI, BENNINGHOFF, MELIO, HASAY,
STEELMAN, CHADWICK, SEYFERT, DEMPSEY, HENNESSEY, FEESE, ZUG,
RUBLEY, EGOLF, WOJNAROSKI, SURRA, BARD, YOUNGBLOOD, LUCYK,
J. TAYLOR, SEMMEL, PIPPY, LEH, HESS, READSHAW, HALUSKA,
MAJOR, HUTCHINSON, VAN HORNE, MAYERNIK, GRUITZA, DALLY,
GORDNER, PLATTS, BAKER, TULLI, STABACK, PETRARCA, KENNEY,
B. SMITH, COLAFELLA, SAINATO, STERN, RAMOS AND WALKO,
APRIL 13, 1999
REFERRED TO COMMITTEE ON FINANCE, APRIL 13, 1999
AN ACT
1 Amending Title 75 (Vehicles) of the Pennsylvania Consolidated
2 Statutes, further providing for refunds.
3 The General Assembly of the Commonwealth of Pennsylvania
4 hereby enacts as follows:
5 Section 1. Section 9017 of Title 75 of the Pennsylvania
6 Consolidated Statutes, reenacted and amended December 21, 1998
7 (P.L.1126, No.151), is amended to read:
8 § 9017. Refunds.
9 (a) Department of Revenue.--Except as provided in subsection
10 (a.1), the Department of Revenue may refund taxes, penalties,
11 interest, fines, additions and other money collected pursuant to
12 this chapter in accordance with section 3003.1 of the act of
13 March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
14 1971.
1 (a.1) Board of Finance and Revenue.--The Board of Finance
2 and Revenue may make reimbursements and refunds of tax imposed
3 and collected upon liquid fuels or fuels as provided under
4 subsections (b), (c), (d.1) or (e). In addition, the board may
5 refund on an annual basis any tax imposed by this chapter and
6 collected by the department upon liquid fuels or fuels delivered
7 to any entity exempt from tax under section 9004(e) (relating to
8 imposition of tax, exemptions and deductions) which has not been
9 claimed as exempt by the distributor or otherwise refunded. The
10 board may adopt regulations relating to procedures for the
11 administration of its duties under this subsection.
12 (b) Farm tractors and volunteer fire rescue and ambulance
13 services.--A person shall be reimbursed the full amount of the
14 tax imposed by this chapter if the person uses or buys liquid
15 fuels or fuels on which the tax imposed by this chapter has been
16 paid and consumes them:
17 (1) in the operation of any nonlicensed farm tractor or
18 licensed farm tractor when used off the highways for
19 agricultural purposes relating to the actual production of
20 farm products; or
21 (2) in the operation of a vehicle of a volunteer fire
22 company, volunteer ambulance service or volunteer rescue
23 squad.
24 (c) Motorboats and watercraft.--
25 (1) When the tax imposed by this chapter has been paid
26 and the fuel on which the tax has been imposed has been
27 consumed in the operation of motorboats or watercraft upon
28 the waters of this Commonwealth, including waterways
29 bordering on this Commonwealth, the full amount of the tax
30 shall be refunded to the Boat Fund on petition to the board
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1 in accordance with prescribed procedures.
2 (2) In accordance with such procedures, the Pennsylvania
3 Fish and Boat Commission shall biannually calculate the
4 amount of liquid fuels consumed by the motorcraft and furnish
5 the information relating to its calculations and data as
6 required by the board. The board shall review the petition
7 and motorboat fuel consumption calculations of the
8 commission, determine the amount of liquid fuels tax paid and
9 certify to the State Treasurer to refund annually to the Boat
10 Fund the amount so determined. The department shall be
11 accorded the right to appear at the proceedings and make its
12 views known.
13 (3) This money shall be used by the commission acting by
14 itself or by agreement with other Federal and State agencies
15 only for the improvement of the waters of this Commonwealth
16 on which motorboats are permitted to operate and may be used
17 for the development and construction of motorboat areas; the
18 dredging and clearing of water areas where motorboats can be
19 used; the placement and replacement of navigational aids; the
20 purchase, development and maintenance of public access sites
21 and facilities to and on waters where motorboating is
22 permitted; the patrolling of motorboating waters; the
23 publishing of nautical charts in those areas of this
24 Commonwealth not covered by nautical charts published by the
25 United States Coast and Geodetic Survey or the United States
26 Army Engineers and the administrative expenses arising out of
27 such activities; and other similar purposes.
28 [(d) Off-highway recreational vehicles.--
29 (1) When the tax imposed by this chapter has been paid
30 on fuel used in off-highway recreational vehicles within this
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1 Commonwealth, an amount equal to the revenue generated by the
2 tax, but not derived therefrom, may be appropriated through
3 the General Fund to the Department of Conservation and
4 Natural Resources. It is the intent of this chapter that all
5 proceeds from the tax paid on fuel used in off-highway
6 recreational vehicles within this Commonwealth be paid
7 without diminution of the Motor License Fund.
8 (2) The Department of Conservation and Natural Resources
9 shall biennially calculate the amount of liquid fuel consumed
10 by off-highway recreational vehicles and furnish information
11 relating to its calculations and data as may be required by
12 the Appropriations Committee of the Senate and the
13 Appropriations Committee of the House of Representatives.
14 (3) The General Assembly shall review the fuel
15 consumption calculations of the Department of Conservation
16 and Natural Resources to determine the amount of liquid fuels
17 tax paid on liquid fuels consumed in the propulsion of off-
18 highway recreational vehicles in this Commonwealth and may
19 annually appropriate to the Department of Conservation and
20 Natural Resources the amount so determined.
21 (4) Money appropriated under paragraph (3) shall be used
22 for the benefit of motorized and nonmotorized recreational
23 trails by the Department of Conservation and Natural
24 Resources as provided in the Intermodal Surface
25 Transportation Efficiency Act of 1991 (Public Law 102-240,
26 105 Stat. 1914).]
27 (d.1) Motorized recreational vehicles.--An amount equal to
28 50% of the tax imposed by section 9004(a) (relating to
29 imposition of tax, exemptions and deductions) on fuel consumed
30 in the operation of motorized recreational vehicles within this
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1 Commonwealth, but not to exceed $3,500,000, shall be refunded
2 out of the Liquid Fuels Tax Fund to the Department of
3 Conservation and Natural Resources in the following manner:
4 (1) There is hereby established a special nonlapsing
5 restricted receipts account in the State Treasury to be known
6 as the Recreational Trails Trust Fund.
7 (2) One-half of the tax revenues, not to exceed
8 $3,500,000 generated by the tax imposed by section 9004(a) on
9 fuel used in motorized recreational vehicles used within this
10 Commonwealth, as determined by the Department of Conservation
11 and Natural Resources, shall be annually refunded to the
12 department through the Recreational Trails Trust Fund.
13 (3) All moneys in the fund are hereby appropriated on a
14 continuing nonlapsing basis to the Department of Conservation
15 and Natural Resources for the activities referred to in
16 paragraph (5).
17 (4) All interest earned by the fund and refunds or
18 repayments shall be credited to the fund and are hereby
19 appropriated in the same manner as paragraph (3).
20 (5) All money in the fund shall be used by the
21 Department of Conservation and Natural Resources as provided
22 in the Transportation Equity Act for the 21st Century (Public
23 Law 105-178, 112 Stat. 107) and for enforcement in State
24 forests and State parks.
25 (e) Aircraft.--A person shall be reimbursed in the amount of
26 the excess if a person uses liquid fuel on which a tax imposed
27 by this chapter in excess of 1 1/2¢ per gallon has been paid in:
28 (1) a propeller-driven aircraft or aircraft engines; or
29 (2) a jet or turbojet-propelled aircraft or aircraft
30 engines.
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1 (e.1) Truck refrigeration units.--
2 (1) During the transition to the use of dyed diesel fuel
3 in truck refrigeration units, a program shall be implemented
4 to provide reimbursement for tax paid on undyed diesel fuel
5 used in truck refrigeration units.
6 (2) During the transition, a person shall be reimbursed
7 the amount of tax paid pursuant to section 9004 on any
8 purchase of undyed diesel fuel which is not more than 100
9 gallons per purchase and is delivered into a fuel tank which
10 is designed to supply only an internal combustion engine
11 mounted on a registered vehicle used exclusively for truck
12 refrigeration.
13 (3) For the period of October 1, 1997, through September
14 30, 1998, claims for reimbursement of taxes paid shall be
15 filed by March 1, 1999, with the Department of Revenue. For
16 the period of October 1, 1998, through September 30, 1999,
17 claims for reimbursement under this subsection shall be filed
18 by October 31, 1999, with the department. For the period from
19 October 1, 1999, through September 30, 2000, inclusive,
20 claims for reimbursement under this subsection shall be filed
21 with the department by October 31, 2000.
22 (4) The department may require a claimant to satisfy any
23 sales or use tax liability on the undyed diesel fuel for
24 which the reimbursement is claimed.
25 (5) A claim for reimbursement must be supported by sales
26 receipts with the word "reefer" noted on the claim and the
27 date of purchase, seller's name and address, number of
28 gallons purchased, fuel type, price per gallon or total
29 amount of sale, unit numbers and the purchaser's name. The
30 department may specify other documentation which it will
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1 accept in lieu of sales receipts. In the case of withdrawals
2 from claimant-owned tax-paid bulk storage, the claim must be
3 supported by detailed records of the date of withdrawal,
4 number of gallons, fuel type, unit number and purchase and
5 inventory records to substantiate that the tax was paid on
6 all bulk purchases. Notwithstanding the provisions of section
7 9009 (relating to retention of records by distributors and
8 dealers), all required documentation shall be retained for a
9 period of three years following the filing date of the claim
10 for reimbursement under this subsection. If the claimant
11 fails to retain documentation as required by this paragraph,
12 the department may deny the reimbursement or issue an
13 assessment for any refund granted plus interest under section
14 9007 (relating to determination and redetermination of tax,
15 penalties and interest due).
16 (6) For purposes of this subsection, the term
17 "transition" means the period of time between October 1,
18 1997, through September 30, 2000.
19 (f) Claims, forms, contents, penalties.--A claim for
20 reimbursement or refund under subsection (b), (c) or (e) shall
21 be made upon a form to be furnished by the board and must
22 include, in addition to such other information as the board may
23 by regulation prescribe, the name and address of the claimant;
24 the period of time and the number of gallons of liquid fuels
25 used for which reimbursement is claimed; a description of the
26 farm machinery, aircraft or aircraft engine in which liquid
27 fuels have been used; the purposes for which the machinery,
28 aircraft or aircraft engine has been used; and the size of the
29 farm and part in cultivation on which such liquid fuels have
30 been used. A claim must contain statements that the liquid fuels
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1 for which reimbursement is claimed have been used only for
2 purposes for which reimbursements are permitted; that records of
3 the amounts of such fuels used in each piece of farm machinery,
4 aircraft or aircraft engine have been kept; and that no part of
5 the claim has been paid except as stated. A claim must contain a
6 declaration that it and accompanying receipts are true and
7 correct to the best of the claimant's knowledge and must be
8 signed by the claimant or the person claiming on the claimant's
9 behalf. A claim must be accompanied by receipts indicating that
10 the liquid fuels tax was paid on the liquid fuels or that the
11 excess liquid fuels tax was paid on the liquid fuels for which
12 reimbursement is claimed. Records of purchases of liquid fuels
13 and use in each tractor or powered machinery, aircraft or
14 aircraft engine shall be kept for a period of two years. A claim
15 must be made annually for the preceding year ending on June 30.
16 A claim must be submitted to the board by September 30. The
17 board shall refuse to consider any claim received or postmarked
18 later than that date. The claimant must satisfy the board that
19 the tax has been paid and that the liquid fuels have been
20 consumed by the claimant for purposes for which reimbursements
21 are permitted under this section. The action of the board in
22 granting or refusing reimbursement shall be final. The board
23 shall deduct the sum of $1.50, which shall be considered a
24 filing fee, from every claim for reimbursement granted. Filing
25 fees are specifically appropriated to the board and to the
26 department for expenses incurred in the administration of the
27 reimbursement provisions of this chapter. The board has the
28 power to refer to the department for investigation any claim for
29 reimbursement filed under the provisions of this chapter. The
30 department shall investigate the application and report to the
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1 board. A person making any false or fraudulent statement for the
2 purpose of obtaining reimbursement commits a misdemeanor of the
3 third degree.
4 (g) Fund sources.--Refunds and reimbursements of money
5 allowed under this section shall be paid from the Motor License
6 Fund and the Liquid Fuels Tax Fund in amounts equal to the
7 original distribution and payment of such money into those
8 funds. Reimbursement for taxes paid on liquid fuels consumed in
9 the operation of tractors and powered machinery for purposes
10 relating to the actual production of farm products and
11 reimbursement for taxes paid on liquid fuels used in aircraft or
12 aircraft engines shall be paid out of the Motor License Fund.
13 (h) Appropriations; approval by Governor.--As much of the
14 money in the Motor License Fund and the Liquid Fuels Tax Fund as
15 may be necessary is appropriated to the board for the purpose of
16 making refunds and reimbursements as authorized in this section.
17 Estimates of the amounts to be expended from these funds for
18 refunds and reimbursements by the board must be submitted to the
19 Governor for approval or disapproval as in the case of other
20 appropriations to administrative departments, boards and
21 commissions. It is unlawful to honor any requisition of the
22 board for the expenditure of money under this section in excess
23 of the estimates approved by the Governor.
24 Section 2. This act shall take effect in 60 days.
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