This Fiscal Note is not an official copy and should not be quoted or cited.
This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0414 - Makes changes in refund claims of motor fuel taxes
COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. NO.: 1750-01
BILL NO.: Truly Agreed to and Finally Passed SB 414
SUBJECT: Taxation and Revenue-General: Motor Fuel
TYPE: Original
DATE: May 4, 1999
FISCAL SUMMARY
|
ESTIMATED NET EFFECT ON STATE FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| Total Estimated
Net Effect on All State Funds |
$0 | $0 | $0 |
|
ESTIMATED NET EFFECT ON FEDERAL FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
|
ESTIMATED NET EFFECT ON LOCAL FUNDS | |||
| FUND AFFECTED | FY 2000 | FY 2001 | FY 2002 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses
This fiscal note contains 4 pages.
FISCAL ANALYSIS
ASSUMPTION
Officials of the Missouri Department of Transportation (MoDOT) state this proposal would not fiscally impact their agency.
Officials of the Department of Revenue (DOR) state this legislation eliminates vendors from claiming refunds and requires sellers to do so if necessary and reduces the time the Department of Revenue has to issue a refund from 90 days to 30 days, effective after December 31, 2000. DOR staff state that this proposal is cleanup legislation and would not fiscally impact their agency.
Officials of the State Courts (CTS) state that the volume of cases that would be generated from this proposal would be minimal and therefore would not fiscally impact their agency.
Officials of the Missouri State Highway Patrol anticipate no fiscal impact on the Patrol or the Patrol's insurance plan. This is based on the assumption that the inspections mentioned in 142.960 would not create any additional work for the Patrol.
Officials of the Department of Corrections (DOC) state currently that they cannot predict the number of new commitments which may result from the creation of the offense(s) outlined in this proposal. An increase in commitments depends on the utilization by prosecutors and the actual sentences imposed by the court. If additional persons are sentenced to the custody of the DOC due to the provisions of this legislation, the DOC would incur a corresponding increase in operational costs either through incarceration (average of $35.00 per inmate, per day) or through supervision provided by the Board of Probation and Parole (average of $3.50 per offender, per day).
The DOC assumes the narrow scope of the crime would not encompass a large number of offenders and the low felony status of the crime enhances the possibility of plea-bargaining or imposition of a probation sentence. Supervision by the DOC through probation or incarceration would result in some additional costs, but it is assumed that the impact would be $0 or a minimal amount that could be absorbed within existing resources.
| FISCAL IMPACT - State Government | FY 2000 | FY 2001 | FY 2002 |
| (10 Mo.) | |||
| 0 | 0 | 0 | |
| FISCAL IMPACT - Local Government | FY 2000 | FY 2001 | FY 2002 |
| (10 Mo.) | |||
| 0 | 0 | 0 | |
| FISCAL IMPACT - Small Business | |||
| Small businesses could be affected by this proposal. This proposal would eliminate Vendor paperwork to claim refunds for consumers. | |||
DESCRIPTION
This bill requires refunds claimed after December 31, 2000, to be claimed only by the consumer and not by the ultimate vendor. Currently, motor fuel tax for nonhighway use such as for farm tractors or stationary engines used exclusively for agricultural purposes may be claimed by the ultimate vendor on behalf of the consumer.
Claims for refund by consumers are required to be filed within one year of the date of purchase or April 15 following the year of purchase, whichever is later. Refunds after December 31, 2000, which are not issued within 30 days of filing will accrue interest at the specified rate.
The rate set for distributors who elect to participate in the optional cash or pool bonding method will be that rate as defined in regulations promulgated by the Director of the Department of Revenue.
This bill also gives the Director of Revenue certain enforcement, investigative, and procedural powers. Persons who fail to obtain required licenses or permits; fail to keep prescribed records or neglect, fail, or refuse to allow the Director of Revenue or Missouri Highway Patrol to inspect an item of equipment or records; or fail, neglect, or refuse to pay the tax due are guilty of a misdemeanor and may be punished as prescribed by law. Any person who violates any of these provisions with the purpose to defraud is guilty of a class D felony.
This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.
SOURCES OF INFORMATION
Missouri Department of Transportation
Department of Revenue
State Courts
Missouri State Highway Patrol
Department of Corrections
Jeanne Jarrett, CPA
Director
May 4, 1999