Indiana Code - Taxation - Title 6, Section 6-6-2.5-71

Sealing special fuel or kerosene pump; compliance; penalty

Sec. 71. (a) The department or any agent of the department may
seal a special fuel or kerosene pump or impound a vehicle that does
not have a sealable pump and post a sign that states that transactions
involving special fuel or kerosene may not be made at the person's
location if any of the following occur:
(1) A person becomes delinquent in payment of a tax due under
this chapter.
(2) There is evidence that the revenue of the seller of fuel is in
jeopardy.
(3) A person sells special fuel or kerosene without being
licensed as required by this chapter.
(4) A person sells special fuel or kerosene without being
bonded as required by the department.
(5) A person sells fuel that is taxable under this chapter without
charging special fuel tax. However, this subdivision does not
apply to a seller that acts in good faith and sells undyed special
fuel to a person with a valid tax exemption certificate on file
with the seller.
(6) A person sells dyed or marked special fuel for use in a
motor vehicle operated on a public highway.
(b) A pump sealed under subsection (a) may remain sealed and a
sign posted under subsection (a) may remain posted until all of the
following have occurred:
(1) All reports are filed and the fees and taxes imposed under
this chapter are paid in full.
(2) The interest and penalties imposed under this chapter,

IC 6-8.1-10-1, and IC 6-8.1-10-2 are paid in full.
(3) The license required by this chapter is obtained.
(4) The bond, letter of credit, or cash deposit required by this
chapter is provided in the amount required by the department.
(c) A person that sells special fuel or kerosene in Indiana shall
allow the agents of the department to seal gallonage totalizers of
metered pumps operated by or on behalf of the person selling special
fuel or kerosene.
(d) If the department determines that a person is selling special
fuel or kerosene from a metered pump in Indiana without an
effectively sealable gallonage totalizer, the seller, at the department's
request, shall:
(1) adapt the pump to the department's specifications so that the
pump may be effectively sealed; or
(2) replace, in whole or in part, the pump with a pump
employing an effectively sealable gallonage totalizer, as
determined by the department.
(e) A person's failure to comply with subsection (c) or (d) shall be
considered evidence that the revenue of the person is in jeopardy.
(f) A person that, without authorization, removes, alters, defaces,
or covers a sign that:
(1) is posted by the department; and
(2) states that transactions involving special fuel or kerosene
may not be made at a location;
commits a Class B misdemeanor. However, the offense is a Class D
felony if the offense is committed with intent to evade the tax
imposed by this chapter or defraud the state.
(h) A person that sells special fuel or kerosene shall notify the
department of the following:
(1) A broken fuel pump seal.
(2) A removed, altered, defaced, or covered sign that was
posted by the department.
(i) A person that sells special fuel or kerosene that fails to notify
the department, as required by subsection (h), after:
(1) a fuel pump seal is broken; or
(2) a sign that was posted by the department is removed,
altered, defaced, or covered;
commits a Class D felony.

As added by P.L.85-1995, SEC.30.

Last modified: May 28, 2006