This bill proposes an exemption from the petroleum products gross receipts tax and the motor fuel tax for fuel used in the operation of certain school buses. Specifically, the exemption applies to fuel used for school buses that transport pupils to or from school or school-sponsored activities by religious or charitable organizations, or by individuals under contract with public or governmental agencies. The bill outlines that purchasers of this fuel must pay the tax at the point of purchase and can then seek a refund by filing a claim with the Director of the Division of Taxation, providing proof of payment and confirming that no previous refund has been issued.

Additionally, the bill amends existing law to include school buses in the list of vehicles exempt from these taxes, defining school buses according to the existing legal definition under R.S.39:1-1. The bill also clarifies that the exemption will take effect immediately upon enactment, but will apply to fuel used on or after the first day of the first month following the enactment date. This legislative change aims to alleviate the financial burden on organizations that operate school buses, thereby supporting transportation for students.

Statutes affected:
Introduced: 54:15B-2.1, 54:39-112