ALABAMA DEPARTMENT OF REVENUE

BUSINESS & LICENSE TAX DIVISION

MOTOR FUELS TAX RULE

810-8-1-.03. Interstate Motor Carrier Fuel Tax Refund.
 
(1)  Code of Alabama 1975, Title 40, Chapter 17, Section 142, sets forth the conditions and limitations of credit allowed for the tax paid on the over-purchase of motor fuels in Alabama. Any calendar quarter in which an interstate motor carrier purchases more fuel in Alabama than is used by the carrier's vehicles on Alabama highways in that same calendar quarter, it follows that the carrier must purchase less fuel in some surrounding state or states than is used in that state or states in that same calendar quarter. The over-purchase situation in Alabama makes it necessary for the interstate motor carrier to pay taxes to the state or states of under-purchase of fuel on which taxes were paid to Alabama at time of purchase. This creates dual taxation.
 
(2)  The above condition causes the interstate motor carrier to be in a position to obtain a credit and/or refund for the overpayment of such tax payment provided the carrier furnishes proof of the following:
(3)   The overpayment referred to in paragraph 2 above must be paid to the other state or states in the same calendar quarter in which the over-purchase situation existed in Alabama. The credit and/or refund made will be only to the extent of that tax paid to Alabama, but will in no case exceed the rate of tax applicable in Alabama. If the interstate motor carrier furnishes proof of payment as indicated above, such carrier can use that credit against a subsequent fuel tax liability occurring in any of the three succeeding calendar quarters, or, upon proper application, a refund can be made to the interstate motor carrier within three years.

(Sections 40-17-152, 40-17-18, and 40-17-142)(Readopted through APA effective October 1, 1982, amended December 24, 1993.) History: Original author and adoption date unknown; readopted through APA effective October 1, 1982; amendment filed with Legislative Reference Service January 17 1986; amendment filed June 10, 1987; Dwight W. Pridgen, Chief, Natural Resources and License Tax Division; Amendment filed December 14, 1987, Author Verlon R. Frost. Filed with LRS September 10, 1993. Certification filed with LRS November 19, 1993, Effective December 24, 1993.

 
 
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