PRINTER'S NO. 3639
No. 2637 Session of 1990
INTRODUCED BY MARKOSEK, B. D. CLARK, LUCYK, WOZNIAK, FAIRCHILD,
O'BRIEN, NAHILL AND DININNI, JUNE 4, 1990
REFERRED TO COMMITTEE ON TRANSPORTATION, JUNE 4, 1990
AN ACT
1 Amending Title 75 (Vehicles) of the Pennsylvania Consolidated
2 Statutes, adding provisions relating to motorbus road tax;
3 and making a repeal.
4 The General Assembly of the Commonwealth of Pennsylvania
5 hereby enacts as follows:
6 Section 1. Title 75 of the Pennsylvania Consolidated
7 Statutes is amended by adding a chapter to read:
8 CHAPTER 98
9 MOTORBUS ROAD TAX
10 Sec.
11 9801. Short title of chapter.
12 9802. Definitions.
13 9803. Imposition of tax.
14 9804. Exemptions.
15 9805. Credit for motor fuel tax payment.
16 9806. Tax due date.
17 9807. Tax revenue to Motor License Fund.
18 9808. Calculation of amount of fuel used in Commonwealth.
1 9809. Report requirements.
2 9810. Identification markers required.
3 9811. Average consumption.
4 9812. Records.
5 9813. Penalty and interest for failure to report or pay tax.
6 9814. Time for payment of taxes, penalties and interest.
7 9815. Manner of payment and recovery of taxes, penalties
8 and interest.
9 9816. Determination, redetermination and review.
10 9817. Timely mailing treated as timely filing and payment.
11 9818. Availability of records of other agencies.
12 9819. False statements and penalties.
13 9820. Special investigators; powers.
14 9821. Regulations.
15 § 9801. Short title of chapter.
16 This chapter shall be known and may be cited as the Motorbus
17 Road Tax Act.
18 § 9802. Definitions.
19 The following words and phrases when used in this chapter
20 shall have the meanings given to them in this section unless the
21 context clearly indicates otherwise:
22 "Bus company." Every person who operates or causes to be
23 operated any motorbus on any highway in this Commonwealth.
24 "Department." The Department of Revenue of the Commonwealth.
25 "Highway." The Pennsylvania Turnpike and every way or place,
26 of whatever nature, open to the use of the public as a matter of
27 right for purposes of vehicular travel. The term does not
28 include a roadway of driveway upon grounds owned by private
29 persons, colleges, universities or other institutions.
30 "Motorbus." A bus with a seating capacity of 20 or more
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1 passengers, excluding the driver. The term does not include a
2 school bus.
3 "Motor fuel." Includes "fuels" as defined in the act of
4 January 14, 1952 (1951 P.L.1965, No.550), known as the Fuel Use
5 Tax Act, and "liquid fuels" as defined in the act of May 21,
6 1931 (P.L.149, No.105), known as The Liquid Fuels Tax Act.
7 "Operations." Operations of all motorbuses, whether loaded
8 or empty, whether for compensation or not for compensation, and
9 whether owned by or leased to the bus company who operates them
10 or causes them to be operated.
11 "Secretary." The Secretary of Revenue of the Commonwealth.
12 § 9803. Imposition of tax.
13 (a) General rule.--Every bus company shall pay a road tax,
14 calculated on the amount of motor fuel used in its operations on
15 highways within this Commonwealth, equivalent to the sum of:
16 (1) the rate per gallon of the Pennsylvania liquid fuels
17 tax which is currently in effect; and
18 (2) the amount of tax, expressed on a cents-per-gallon
19 basis, imposed pursuant to Chapter 95 (relating to taxes for
20 highway maintenance and construction).
21 (b) Other taxes unaffected.--The taxes imposed on bus
22 companies by this chapter are in addition to any taxes of
23 whatever character imposed on those companies by any other
24 statute.
25 § 9804. Exemptions.
26 The requirements of this chapter do not apply to the
27 following motorbuses:
28 (1) A motorbus operated by or on behalf of any
29 department, board or commission of the Commonwealth, or any
30 political subdivision thereof, or any quasi-governmental
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1 authority of which this Commonwealth is a participating
2 member, or any agency of the Federal Government or the
3 District of Columbia, or any other state, or any political
4 subdivision thereof, which grants similar exemptions to
5 publicly owned vehicles registered in this Commonwealth.
6 (2) An unloaded or towed motorbus which enters this
7 Commonwealth solely for the purpose of securing repairs or
8 reconditioning. The repair facility shall furnish to the bus
9 company a certificate to be carried by the motorbus operator
10 while the vehicle is in this Commonwealth for the purposes of
11 this paragraph.
12 (3) A motorbus needing emergency repairs which secures
13 authorization from the Pennsylvania State Police to enter
14 this Commonwealth under this section.
15 § 9805. Credit for motor fuel tax payment.
16 (a) General rule.--Every bus company subject to the tax
17 imposed under this chapter shall be entitled to a credit on the
18 tax for other fuel taxes paid on all motor fuel purchased by the
19 bus company within this Commonwealth for use in its operation
20 either within or without this Commonwealth. For purposes of this
21 section, other fuel taxes shall include the tax imposed under
22 the act of January 14, 1952 (1951 P.L.1965, No.550), known as
23 the Fuel Use Tax Act, the tax imposed under the act of May 21,
24 1931 (P.L.149, No.105), known as The Liquid Fuels Tax Act, the
25 tax imposed under Chapter 95 (relating to taxes for highway
26 maintenance and construction) and all similar taxes now or
27 hereafter imposed on motor fuel. Evidence of the payment of the
28 tax in such form as may be required by, or is satisfactory to,
29 the department shall be furnished by each bus company claiming
30 the credit.
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1 (b) Excess credit.--When the amount of the credit to which
2 any bus company is entitled for any reporting period exceeds the
3 amount of the tax for which the bus company is liable for the
4 same period, the department may apply all or part of the amount
5 of such excess credit against any liability in respect of the
6 tax imposed by this chapter on the bus company which incurred
7 the excess credit and upon request shall issue a refund in the
8 remaining amount of the credit to the bus company. For purposes
9 of payment of interest on refunds pursuant to section 806.1 of
10 the act of April 9, 1929 (P.L.343, No.176), known as The Fiscal
11 Code, the amount of the refund shall be considered an
12 overpayment of tax made with the report on which credit is
13 claimed. Refunds shall be paid out of the Motor License Fund. As
14 much of the moneys received as payment of the tax, interest and
15 penalties under this chapter as shall be necessary for the
16 payment of the refunds provided for in this chapter is hereby
17 appropriated for the payment of such refunds. No tax, interest,
18 penalty or fee received or derived from any other tax imposed by
19 the laws of this Commonwealth shall be used to pay any refund
20 due and payable under the provisions of this chapter.
21 § 9806. Tax due date.
22 The tax imposed under this chapter shall be paid by each bus
23 company quarterly to the department on or before the last day of
24 April, July, October and January of each year and calculated
25 upon the amount of motor fuel used in its operations on highways
26 within this Commonwealth by each bus company during the quarter
27 ending with the last day of the preceding month.
28 § 9807. Tax revenue to Motor License Fund.
29 All taxes, fees, penalties and interest paid under this
30 chapter shall be credited to and are hereby appropriated to the
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1 Motor License Fund as provided for by section 11 of Article VIII
2 of the Constitution of Pennsylvania.
3 § 9808. Calculation of amount of fuel used in Commonwealth.
4 The amount of motor fuel used in the operations of any bus
5 company on highways within this Commonwealth shall be such
6 proportion of the total amount of the motor fuel used in its
7 entire operations within and without this Commonwealth as the
8 total number of miles traveled on highways within this
9 Commonwealth bears to the total number of miles traveled within
10 and without this Commonwealth.
11 § 9809. Report requirements.
12 Every bus company subject to the tax imposed by this chapter
13 shall, on or before the last day of April, July, October and
14 January of every year, make to the department such reports of
15 its operations during the quarter ending the last day of the
16 preceding month as the department may require and such other
17 reports from time to time as the department may deem necessary.
18 The department may by regulation permit any bus company whose
19 estimated annual liability under this chapter is $250 or less to
20 file its report on an annual basis.
21 § 9810. Identification markers required.
22 (a) General rule.--The department shall provide an
23 identification marker for every motorbus.
24 (1) All motorbuses required to display the
25 identification marker shall permanently affix and display the
26 identification marker in such manner as the department by
27 regulation may specify.
28 (2) The identification marker shall remain the property
29 of the Commonwealth and may be recalled for any violation of
30 the provisions of this chapter or the regulations promulgated
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1 thereunder.
2 (b) Fee.--The fee for issuance of an identification marker
3 shall be $5.
4 (c) Issuance of markers.--Identification markers shall be
5 issued on a 12-month basis, effective April 1 of each year, and
6 shall be valid through the next succeeding March 31; however,
7 enforcement of this section shall not become effective until
8 April 15 of each year as to motorbuses displaying the previous
9 year's identification marker.
10 (d) Operation without identification marker unlawful.--It
11 shall be unlawful to operate or to cause to be operated in this
12 Commonwealth any motorbus unless the vehicle bears the
13 identification marker required by this section.
14 (1) The department may by regulation exempt from the
15 requirement to display the identification marker motorbuses
16 which, in its opinion, are clearly identifiable such that
17 effective enforcement of this chapter will not suffer
18 thereby.
19 (2) For a period not exceeding five days as to any one
20 bus company, the department by letter or telegram may
21 authorize the operation of a motorbus without the
22 identification marker required when the enforcement of this
23 section for that period would cause undue delay and hardship
24 in the operation of the motorbus.
25 (i) The fee for the permits shall be $25 for each
26 motorbus.
27 (ii) Conditions for the issuance of the permits
28 shall be set forth in regulations promulgated by the
29 department.
30 § 9811. Average consumption.
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1 In the absence of adequate records or other evidence
2 satisfactory to the department showing the number of miles
3 operated by a bus company's motorbuses per gallon of motor fuel,
4 any such motorbus shall be deemed to have consumed one gallon of
5 motor fuel for each four miles operated.
6 § 9812. Records.
7 Every bus company shall keep such records, in such form as
8 the department reasonably may prescribe, as will enable the bus
9 company to report and enable the department to determine the
10 total number of over-the-road miles traveled by its entire fleet
11 of motorbuses, the total number of over-the-road miles traveled
12 in this Commonwealth by the entire fleet, the total number of
13 gallons of motor fuel used by the entire fleet and the total
14 number of gallons of motor fuel purchased in this Commonwealth
15 for the entire fleet. The records shall be safely preserved for
16 a period of five years in such manner as to insure their
17 security and availability for inspection by the secretary or any
18 authorized employee engaged in the administration of this
19 chapter. Upon application in writing stating the reasons
20 therefor, the department may, in its discretion, consent to the
21 destruction of any records at any time within that period if the
22 records pertain to a period which has been audited by the
23 department. Every taxpayer shall retain records required by this
24 chapter at a place within this Commonwealth, but a taxpayer who
25 elects to retain records outside of this Commonwealth shall
26 assume reasonable out-of-state audit expenses.
27 § 9813. Penalty and interest for failure to report or pay tax.
28 When any bus company fails to file a report within the time
29 prescribed by this chapter for the filing thereof, the company
30 shall pay as a penalty $25 for each failure to file on or before
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1 the prescribed date. In addition to this penalty, any unpaid tax
2 shall bear interest pursuant to section 806 of the act of April
3 9, 1929 (P.L.343, No.176), known as The Fiscal Code, until the
4 tax is paid. The penalties and interest charges imposed shall be
5 paid to the department in addition to the tax due.
6 § 9814. Time for payment of taxes, penalties and interest.
7 All taxes, penalties and interest assessed under this
8 chapter, unless earlier payment is provided in this chapter,
9 shall be paid within 15 days after notice and demand have been
10 mailed to the bus company by the department. If the taxes,
11 penalties and interest assessed under this section and section
12 9813 (relating to penalty and interest for failure to report or
13 pay tax) are not paid within 15 days, there shall be added to
14 the amount of assessment, in addition to interest as already
15 provided and any other penalties provided by law, a sum
16 equivalent to 5% of the tax. Payment of any taxes, penalties and
17 interest assessed under this chapter shall not prejudice a bus
18 company's right to file a petition for redetermination, refund
19 or review with the department, the Board of Finance and Revenue
20 or the courts.
21 § 9815. Manner of payment and recovery of taxes, penalties and
22 interest.
23 (a) General rule.--All penalties and interest when imposed
24 under this chapter shall be payable to and recoverable by the
25 department in the same manner as if they were part of the tax
26 imposed.
27 (b) Imposition of lien.--The taxes, fees, interest and
28 penalties imposed under this chapter, from the time they are
29 due, shall be a debt of a bus company who does not maintain
30 premises for the transaction of business within this
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1 Commonwealth, recoverable in an action of assumpsit in the name
2 of the Commonwealth. This debt, whether sued upon or not, shall
3 be a lien on all the property of the debtor, except as against
4 an innocent purchaser for value without notice thereof, and
5 shall have priority both in lien and distribution of the assets
6 of the bus company, whether in bankruptcy, insolvency or
7 otherwise. The proceeds of any judgment or order obtained under
8 this section shall be paid to the department.
9 (c) Recording of lien and execution.--Any tax determined to
10 be due from any person who maintains premises for the conduct of
11 business in this Commonwealth and remaining unpaid after demand
12 for the tax, and all penalties and interest thereon, shall be a
13 lien in favor of the Commonwealth upon the real and personal
14 property of the person but only after the lien has been entered
15 and docketed of record by the prothonotary of the county where
16 the property is situated. The department may at any time
17 transmit to the prothonotaries of the respective counties
18 certified copies of all liens for such taxes, penalties and
19 interest, and it shall be the duty of each prothonotary
20 receiving the lien to enter and docket the lien of record in his
21 office, which lien shall be indexed as judgments are now
22 indexed. A writ of execution may directly issue upon the lien
23 without the issuance and prosecution to judgment of a writ of
24 scire facias. Not less than ten days before issuance of any
25 execution on the lien, notice of the filing and the effect of
26 the lien shall be sent by registered mail to the taxpayer at his
27 last known post office address.
28 (d) Priority of lien.--The lien imposed under this section
29 shall have priority from the date of its recording and shall be
30 fully paid and satisfied out of the proceeds of any judicial
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1 sale of property subject thereto, before any other obligation,
2 judgment, claim, lien or estate to which the property may
3 subsequently become subject, except costs of the sale and of the
4 writ upon which the sale was made, and real estate taxes and
5 municipal claims against the property, but shall be subordinate
6 to mortgages and other liens existing and duly recorded or
7 entered of record prior to the recording of the tax lien. In the
8 case of a judicial sale of property subject to a lien imposed
9 under this section upon a lien or claim over which the lien
10 imposed under this section has priority, the sale shall
11 discharge the lien imposed under this section to the extent only
12 that the proceeds are applied to its payment, and the lien shall
13 continue in full force and effect as to the balance remaining
14 unpaid.
15 (e) Renewal of lien.--The lien imposed under this section
16 shall continue for five years from the date of its entry of
17 record and may be renewed and continued in the manner provided
18 for the renewal of judgments.
19 § 9816. Determination, redetermination and review.
20 (a) Determination of correct tax.--If any person fails to
21 pay any tax imposed by this chapter for which he is liable or if
22 any person overpays the tax for which he is liable, the
23 department may make a determination of the correct amount of tax
24 and interest due by the person based upon any information within
25 its possession or that shall come into its possession. All
26 determinations shall be made so that notice thereof shall reach
27 the parties against whom made within five years after the due
28 date of the tax. Any assessment of additional tax may be made at
29 any time during that period notwithstanding that the department
30 may have made one or more previous assessments against the
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1 taxpayer for the year in question or for any part of that year.
2 In any case, no credit shall be given for any penalty previously
3 assessed or paid.
4 (b) Failure to file report.--Where no report is filed, the
5 amount of the tax due may be assessed and collected at any time
6 as to taxable transactions not reported.
7 (c) False or fraudulent report.--Where the taxpayer
8 willfully files a false or fraudulent report with intent to
9 evade the tax imposed by this chapter, the amount of tax due may
10 be assessed and collected at any time.
11 (d) Extension of period for assessment.--Notwithstanding any
12 of the other provisions of this chapter, where, before the
13 expiration of the period prescribed therein for the
14 determination of the correct amount of tax, a taxpayer has
15 consented in writing that the period be extended, the correct
16 amount of tax may be determined at any time within the extended
17 period. The period so extended may be extended further by
18 subsequent consent in writing made before the expiration of the
19 extended period.
20 (e) Petition for redetermination.--Promptly after the date
21 of the determination, the department shall send, by first class
22 mail, a copy thereof to the person against whom it was made.
23 Within 90 days after the date upon which the copy of any
24 determination was mailed, the person may file with the
25 department a petition for redetermination of the taxes. The
26 petition for redetermination shall state specifically the
27 reasons which the petitioner believes entitle him to the
28 redetermination, and it shall be supported by affirmation that
29 it is not made for the purpose of delay and that the facts set
30 forth therein are true. It shall be the duty of the department,
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1 within six months after the date of any determination, to
2 dispose of any petition for redetermination. Notice of the
3 action taken upon any petition for redetermination shall be
4 given to the petitioner promptly after the date of
5 redetermination by the department.
6 (f) Review and appeal.--Any person shall have the right to
7 review by the Board of Finance and Revenue and appeal in the
8 same manner and within the same time as provided by law in the
9 case of capital stock and franchise taxes imposed upon
10 corporations.
11 § 9817. Timely mailing treated as timely filing and payment.
12 With respect to all reports, claims, statements and other
13 documents required to be filed and all payments required to be
14 made under this chapter, the report, claim, statement and other
15 document or payment of tax withheld shall be considered as
16 timely filed if the report, claim, statement or other document
17 or payment which has been received by the department is
18 postmarked by the United States Postal Service on or prior to
19 the final day on which payment is to be received. For the
20 purposes of this chapter, the presentation of a receipt
21 indicating that the report, claim, statement or other document
22 or payment was mailed by registered or certified mail on or
23 before the due date shall be prima facie evidence of timely
24 filing of the report, claim, statement or other document or
25 payment.
26 § 9818. Availability of records of other agencies.
27 The records of any other Commonwealth agency, to the extent
28 that they may be pertinent to the administration and enforcement
29 of this chapter and the determination of liability thereunder,
30 shall be available to the department.
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1 § 9819. False statements and penalties.
2 (a) False statements.--Any person who willfully and
3 knowingly makes, publishes, delivers or utters a false statement
4 orally or in writing or in the form of a receipt for the sale of
5 motor fuel, for the purpose of obtaining or attempting to
6 obtain, or to assist any person to obtain or attempt to obtain,
7 a credit or refund or reduction of liability for taxes under
8 this chapter commits a summary offense and shall, upon
9 conviction, for a first offense be sentenced to pay a fine of
10 not less than $100 nor more than $500 and for each subsequent or
11 additional offense be sentenced to pay a fine of not less than
12 $200 nor more than $500 or undergo imprisonment for a term not
13 exceeding 90 days, or both.
14 (b) Other penalties.--Any person violating any provision of
15 this chapter not covered by any other penalty contained in this
16 chapter commits a summary offense and shall, upon conviction,
17 for a first offense be sentenced to pay a fine of not less than
18 $100 nor more than $500 and for each subsequent or additional
19 offense be sentenced to pay a fine of not less than $200 nor
20 more than $500 or undergo imprisonment for a term not exceeding
21 90 days, or both. If the person convicted is a corporation, any
22 imprisonment imposed shall be served by the responsible
23 corporate employee.
24 § 9820. Special investigators; powers.
25 Such employees of the department as are designated as special
26 investigators, and who carry identification indicating such
27 capacity, are hereby declared to be peace officers of this
28 Commonwealth, are hereby given police power and authority
29 throughout this Commonwealth to arrest on view without warrant
30 any driver of a motorbus engaged in any operations in violation
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1 of any provision of this chapter and are hereby given the power
2 and authority upon probable cause that the violation may have
3 occurred to search and seize without warrant or process any
4 motorbus so operated.
5 § 9821. Regulations.
6 The department shall from time to time promulgate such
7 regulations as may be necessary for the effective enforcement of
8 this chapter.
9 Section 2. The act of August 1, 1963 (P.L.476, No.249),
10 entitled "An act providing for the taxation of motor fuels
11 consumed by interstate buses upon a system uniform among
12 jurisdictions enacting the same provisions," is repealed.
13 Section 3. This act shall become operative as of the first
14 day of the first quarter beginning at least three months after
15 the effective date of this act. Title 75Pa.C.S. § 9810(d)
16 (relating to identification markers required) shall not be
17 enforced until the first day of the second quarter beginning at
18 least three months after the effective date of this act.
19 Section 4. If this act becomes effective on or after October
20 1, 1990, then any identification marker issued for any period
21 prior to April 1, 1991, shall not expire until March 31, 1992.
22 Section 5. This act shall take effect immediately.
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