| DATE: | September 25, 2002 |
| TO: | ALL WHOLESALE DISTRIBUTORS OF JET FUEL |
On March 19, 2002, Governor Don Siegelman signed into law Act 2002-153 which amended Section 40-17-31, Code of Alabama 1975, relating to the sale of jet fuel into a Foreign Trade Zone. Effective October 1, 2002, all jet fuel "...sold or delivered into a Foreign Trade Zone, used to propel aircraft powered by jet or turbine engines operated by air carriers engaged in scheduled all-cargo operations being conducted on international flights or in international commerce" is exempt from the state excise tax. (Emphasis added.) Therefore, a licensed distributor may take this deduction on the monthly aviation tax return (Line 12, Column 2).
If you should have any questions regarding this notice, please contact:
Alabama Department of Revenue
Sales, Use & Business Tax Division
Motor Fuels Section
P.O. Box 327540
Montgomery, AL 36132-7540
(334) 242-9608
(334) 242-1199 (Fax)