The bill amends the Code of Alabama 1975 to update regulations concerning surety bonds and motor fuel assessments. Key changes include extending the filing period for new or replacement surety bonds as specified in Sections 40-17-168.5 and 40-17-335, and allowing the commissioner to require an additional surety bond if the existing one is insufficient, with the new bond capped at two months of average excise tax owed by the licensee. The notification process for licensees is also revised, granting them 30 to 60 days to comply with bond requirements or appeal to the Alabama Tax Tribunal. Additionally, the bill clarifies that surety bonds must be approved by the commissioner and indemnify the state against losses from a licensee's failure to pay the motor fuel excise tax.

Moreover, the bill introduces provisions for handling illegally imported or transported motor fuel, empowering the commissioner to seize and secure storage receptacles until taxes, interest, and penalties are paid. If the tax assessment remains unresolved after 60 days, the commissioner can sell the motor fuel to cover the assessment, returning any excess funds to the owner. The bill also designates all motor fuel and related property involved in illegal activities as contraband, subject to forfeiture to the state. The act is set to take effect immediately upon passage.

Statutes affected:
Introduced: 40-17-168, 40-17-335, 40-17-353, 40-17-168, 40-17-335, 40-17-353
Enrolled: 40-17-168, 40-17-335, 40-17-353, 40-17-168, 40-17-335, 40-17-353