The bill proposes an increase in the excise tax rates on aviation gasoline and jet fuel in South Dakota. Specifically, the tax on aviation gasoline will rise from six cents to seven cents per gallon, and the tax on jet fuel will increase from four cents to seven cents per gallon. Additionally, the bill amends the existing law to clarify the tax rates for various fuel types, including motor fuel, special fuel, liquid petroleum gas, compressed natural gas, ethyl alcohol, methyl alcohol, liquid natural gas, and biodiesel blends.

The amendments also remove certain language regarding exemptions for specific fuel types, ensuring that the new tax rates apply uniformly. The bill aims to update the tax structure to reflect current economic conditions and potentially generate additional revenue for the state. Overall, the changes are designed to enhance the state's fuel tax framework while maintaining clarity in the law.

Statutes affected:
Introduced, 01/30/2025: 10-47B-4
Senate Taxation Engrossed, 02/19/2025: 10-47B-4