This bill proposes the abolition of motor fuel taxes in Minnesota, making significant amendments to existing transportation and taxation statutes. It removes references to motor fuel taxes from various sections of the Minnesota Statutes, including those related to distributor licenses and special fuel dealer licenses, and repeals multiple sections governing the imposition and collection of these taxes. New provisions require individuals and businesses involved in petroleum product transactions to file monthly reports detailing the number of gallons received, while eliminating previous tax payment and return requirements. The bill aims to simplify compliance for distributors and dealers while maintaining state oversight of fuel sales and distribution.

Additionally, the bill introduces amendments concerning tax collection and penalties for delinquent taxes, establishing a five-year statute of limitations for tax collection and modifying penalties for non-payment. It includes provisions for transferring over $1.8 billion from the general fund to the highway user tax distribution fund and outlines excise tax rates for various fuels, with annual adjustments based on the Minnesota Highway Construction Cost Index. The bill also addresses tax refunds for gasoline and aviation fuel, detailing requirements and penalties for fraudulent claims, and clarifies the process for appealing tax-related orders. Overall, the legislation seeks to streamline tax processes and enhance compliance while ensuring proper funding for transportation infrastructure.

Statutes affected:
Introduction: 296A.03, 296A.04, 296A.05, 296A.06, 296A.061, 296A.12, 296A.15, 296A.21, 296A.22, 296A.23, 296A.24, 84.794, 84.803, 84.83, 84.927, 86B.706, 89.70, 89.72, 115C.08, 297A.68