GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2011
S 1
SENATE BILL 751
Short Title: Statutory Cap for Motor Fuel Excise Tax Rate. |
(Public) |
|
Sponsors: |
Senators Rouzer, Rabon, Harrington; Brock, Davis, Goolsby, Hise, and Jackson. |
|
Referred to: |
Transportation. |
|
April 20, 2011
A BILL TO BE ENTITLED
AN ACT to provide a statutory cap for the variable component of the motor fuel Excise tax rate.
The General Assembly of North Carolina enacts:
SECTION 1. G.S. 105-449.80(a) reads as rewritten:
"(a) Rate. - The
motor fuel excise tax rate is a flat rate of seventeen and one-half cents (17
1/2¢) a gallon plus a variable wholesale component. The variable wholesale
component is either three and one-half cents (3 1/2¢) a gallon or seven percent
(7%) of the average wholesale price of motor fuel for the applicable base
period, whichever is greater. greater, subject to a maximum of
fifteen cents (15¢) per gallon.
The two base periods are six-month periods; one ends on September 30 and one ends on March 31. The Secretary must set the tax rate twice a year based on the wholesale price for each base period. A tax rate set by the Secretary using information for the base period that ends on September 30 applies to the six-month period that begins the following January 1. A tax rate set by the Secretary using information for the base period that ends on March 31 applies to the six-month period that begins the following July 1."
SECTION 2. This act becomes effective July 1, 2011, and applies to taxes imposed on or after that date.