Texas Tax Code Title 2, Chapter 162 - Motor Fuel Taxes

SUBCHAPTER A GENERAL PROVISIONS

• Texas Section 162.001 - Definitions
  In this chapter: (1) "Agricultural purpose" means a purpose associated with the following activities: (A) cultivating the soil; (B) producing crops for human food, animal...
• Texas Section 162.002 - Tax Liability On Leased Vehicles
  (a) A user or interstate trucker is liable for the tax on motor fuel imported into this state in fuel supply tanks of leased motor...
• Texas Section 162.003 - Cooperative Agreements With Other States
  (a) The comptroller may enter into a cooperative agreement with another state for the collection of motor fuel taxes, the exchange of information, the auditing...
• Texas Section 162.004 - Motor Fuel Transportation: Required Documents
  (a) A person may not transport in this state any motor fuel by barge, vessel, railroad tank car, or transport vehicle unless the person has...
• Texas Section 162.005 - Cancellation Or Refusal Of License
  (a) The comptroller may cancel or refuse to issue or reissue a motor fuel license to any person who has violated or has failed to...
• Texas Section 162.006 - Summary Suspension Of License
  (a) The comptroller may suspend a person's license without notice or a hearing for the person's failure to comply with this chapter or a rule...
• Texas Section 162.007 - Enforcement Of License Cancellation, Suspension, Or Refusal
  (a) The comptroller may examine any books and records incident to the conduct of the business of a person whose license has been canceled or...
• Texas Section 162.008 - Inspection Of Premises And Records
  For the purpose of determining the amount of tax collected and payable to this state, the amount of tax accruing and due, and whether a...
• Texas Section 162.009 - Authority To Stop And Examine
  To enforce this chapter, the comptroller or a peace officer may stop a motor vehicle that appears to be operating with or transporting motor fuel...
• Texas Section 162.010 - Impoundment And Seizure
  (a) If after examination or other investigation, the comptroller believes that the owner or operator of a motor vehicle or cargo tank, or a person...
• Texas Section 162.011 - Sale Of Seized Property
  (a) The comptroller may sell property seized under Section 162.010. (b) Notice of the time and place of a sale shall be given to the...
• Texas Section 162.012 - Presumptions
  (a) A person licensed under this chapter or required to be licensed under this chapter, or other user, who fails to keep a record, issue...
• Texas Section 162.0125 - Duty To Keep Records
  A person required to keep a record under this chapter shall also keep the record as required by Section 111.0041. Added by Acts 2011, 82nd...
• Texas Section 162.013 - Venue Of Tax Collection Suits
  The venue of a suit, injunction, or other proceeding at law available for the establishment or collection of a claim for delinquent taxes, penalties, or...
• Texas Section 162.014 - Other Motor Fuel Taxes Prohibited
  The taxes imposed by this chapter are in lieu of any other excise or occupation tax imposed by a political subdivision of this state on...
• Texas Section 162.015 - Additional Tax Applies To Inventories
  (a) On the effective date of an increase in the rates of the taxes imposed by this chapter, a distributor or dealer that possesses for...

SUBCHAPTER B GASOLINE TAX

• Texas Section 162.016 - Importation And Exportation Of Motor Fuel
  (a) A person may not import motor fuel to a destination in this state or export motor fuel to a destination outside this state by...
• Texas Section 162.101 - Point Of Imposition Of Gasoline Tax
  (a) A tax is imposed on the removal of gasoline from the terminal using the terminal rack, other than by bulk transfer. The supplier or...
• Texas Section 162.102 - Tax Rate
  The gasoline tax rate is 20 cents for each net gallon or fractional part on which the tax is imposed under Section 162.101. Added by...
• Texas Section 162.1025 - Separate Statement Of Tax Collected From Purchaser
  (a) In each subsequent sale of gasoline on which the tax has been paid, the tax imposed by this subchapter shall be collected from the...
• Texas Section 162.103 - Backup Tax; Liability
  (a) A backup tax is imposed at the rate prescribed by Section 162.102 on: (1) a person who obtains a refund of tax on gasoline...
• Texas Section 162.104 - Exemptions
  (a) The tax imposed by this subchapter does not apply to gasoline: (1) sold to the United States for its exclusive use, provided that the...
• Texas Section 162.105 - Persons Required To Be Licensed
  A person shall obtain the appropriate license or licenses issued by the comptroller before conducting the activities of: (1) a supplier, who may also act...
• Texas Section 162.106 - Trip Permits
  (a) Instead of an annual interstate trucker's license, a person bringing a motor vehicle described by Section 162.001(36) into this state for commercial purposes may...
• Texas Section 162.107 - Permissive Supplier Requirements On Out-of-state Removals
  (a) A person may elect to obtain a permissive supplier license to collect the tax imposed under this subchapter for gasoline that is removed at...
• Texas Section 162.108 - License Application Procedure
  (a) To obtain a license under this subchapter, an applicant shall file an application using a form adopted by the comptroller. The application must contain:...
• Texas Section 162.109 - Issuance And Display Of License
  (a) If the comptroller approves a license application, the comptroller shall issue a license to the applicant. A license must be posted in a conspicuous...
• Texas Section 162.110 - Licenses And Trip Permits; Periods Of Validity
  (a) The license issued to a supplier, permissive supplier, distributor, importer, exporter, terminal operator, blender, or motor fuel transporter is permanent and is valid during...
• Texas Section 162.111 - Bond And Other Security For Taxes
  (a) The comptroller shall determine the amount of security required of a supplier, permissive supplier, distributor, exporter, importer, or blender, taking into consideration the amount...
• Texas Section 162.112 - License Holder Status List
  (a) The comptroller, on or before December 20 of each year, shall make available to all license holders an alphabetical list of licensed suppliers, permissive...
• Texas Section 162.113 - Remittance Of Tax To Supplier Or Permissive Supplier; Allowances
  (a) Each licensed distributor and licensed importer shall remit to the supplier or permissive supplier, as applicable, the tax imposed by Section 162.101 for gasoline...
• Texas Section 162.114 - Returns And Payments
  (a) Except as provided by Subsection (b), each person who is liable for the tax imposed by this subchapter, a terminal operator, and a licensed...
• Texas Section 162.115 - Records
  (a) A supplier and permissive supplier shall keep: (1) a record showing the number of gallons of: (A) all gasoline inventories on hand at the...
• Texas Section 162.116 - Information Required On Supplier's And Permissive Supplier's Return; Credits And Allowances
  (a) The monthly return and supplements of each supplier and permissive supplier shall contain for the period covered by the return: (1) the number of...
• Texas Section 162.117 - Duties Of Seller Of Gasoline
  (a) A seller who receives or collects tax holds the amount received or collected in trust for the benefit of this state and has a...
• Texas Section 162.118 - Information Required On Distributor's Return
  The monthly return and supplements of each distributor shall contain for the period covered by the return: (1) the number of net gallons of gasoline...
• Texas Section 162.119 - Information Required On Importer's Return; Allowances
  (a) The monthly return and supplements of an importer shall contain for the period covered by the return: (1) the number of net gallons of...
• Texas Section 162.120 - Information Required On Terminal Operator's Return
  (a) A terminal operator shall file with the comptroller a monthly information return and supplement showing the amount of gasoline received and removed from the...
• Texas Section 162.121 - Information Required On Motor Fuel Transporter's Return
  The quarterly return and supplements of a motor fuel transporter shall contain for the period covered by the return: (1) the name, license number, and...
• Texas Section 162.122 - Information Required On Exporter's Return And Payment Of Tax On Exports
  The monthly return and supplements of an exporter shall contain for the period covered by the return: (1) the number of net gallons of gasoline...
• Texas Section 162.123 - Information Required On Blender's Return
  The monthly return and supplements of each blender shall contain for the period covered by the return: (1) the number of net gallons of gasoline...
• Texas Section 162.124 - Information Required On Interstate Trucker's Return
  The quarterly return and supplements of each interstate trucker shall contain for the period covered by the return: (1) the total miles traveled in all...
• Texas Section 162.125 - Refund Or Credit For Certain Taxes Paid
  (a) A license holder may take a credit on a return for the period in which the sale occurred if the license holder paid tax...
• Texas Section 162.126 - Refund For Bad Debts; Credit For Nonpayment
  (a) A licensed distributor may file a refund claim with the comptroller if: (1) the distributor has paid the taxes imposed by this subchapter on...
• Texas Section 162.127 - Claims For Refunds
  (a) A refund claim must be filed on a form provided by the comptroller, be supported by the original invoice issued by the seller, and...
• Texas Section 162.1275 - Refund For Certain Metropolitan Rapid Transit Authorities
  (a) Except as otherwise provided by this section, a metropolitan rapid transit authority operating under Chapter 451, Transportation Code, that is a party to a...

SUBCHAPTER C DIESEL FUEL TAX

• Texas Section 162.128 - When Gasoline Tax Refund Or Credit May Be Filed
  (a) Except as otherwise provided by this section, a claim for a refund must be filed with the comptroller before the first anniversary of the...
• Texas Section 162.201 - Point Of Imposition Of Diesel Fuel Tax
  (a) A tax is imposed on the removal of diesel fuel from the terminal using the terminal rack other than by bulk transfer. The supplier...
• Texas Section 162.202 - Tax Rate
  The diesel fuel tax rate is 20 cents for each net gallon or fractional part on which the tax is imposed under Section 162.201. Added...
• Texas Section 162.2025 - Separate Statement Of Tax Collected From Purchaser
  (a) In each subsequent sale of diesel fuel on which the tax has been paid, the tax imposed by this subchapter shall be collected from...
• Texas Section 162.203 - Backup Tax; Liability
  (a) A backup tax is imposed at the rate prescribed by Section 162.202 on: (1) a person who obtains a refund of tax on diesel...
• Texas Section 162.204 - Exemptions
  (a) The tax imposed by this subchapter does not apply to: (1) diesel fuel sold to the United States for its exclusive use, provided that...
• Texas Section 162.205 - Persons Required To Be Licensed
  (a) A person shall obtain the appropriate license or licenses issued by the comptroller before conducting the activities of: (1) a supplier, who may also...
• Texas Section 162.206 - Statement For Purchase Of Dyed Diesel Fuel
  (a) The first removal of diesel fuel from a terminal in this state is taxable, except the sale of dyed diesel fuel may be made...
• Texas Section 162.207 - Trip Permits
  (a) Instead of an annual interstate trucker's license, a person bringing a motor vehicle described by Section 162.001(36) into this state for commercial purposes may...
• Texas Section 162.208 - Permissive Supplier Requirements On Out-of-state Removals
  (a) A person may elect to obtain a permissive supplier license to collect the tax imposed under this subchapter for diesel fuel that is removed...
• Texas Section 162.209 - License Application Procedure
  (a) To obtain a license under this subchapter, an applicant shall file an application using a form adopted by the comptroller. The application must contain:...
• Texas Section 162.210 - Issuance And Display Of License
  (a) If the comptroller approves a license application, the comptroller shall issue a license to the applicant. A license must be posted in a conspicuous...
• Texas Section 162.211 - Licenses And Trip Permits; Periods Of Validity
  (a) The license issued to a supplier, permissive supplier, distributor, importer, terminal supplier, exporter, blender, motor fuel transporter, or dyed diesel fuel bonded user is...
• Texas Section 162.212 - Bond And Other Security For Taxes
  (a) The comptroller shall determine the amount of security required of a supplier, permissive supplier, distributor, exporter, importer, blender, or dyed diesel fuel bonded user,...
• Texas Section 162.213 - License Holder Status List
  (a) The comptroller, on or before December 20 of each year, shall make available to all license holders an alphabetical list of licensed suppliers, permissive...
• Texas Section 162.214 - Remittance Of Tax To Supplier Or Permissive Supplier; Allowances
  (a) Each licensed distributor and licensed importer shall remit to the supplier or permissive supplier, as applicable, the tax imposed by Section 162.201 for diesel...
• Texas Section 162.215 - Returns And Payments
  (a) Except as provided by Subsection (b), each person who is liable for the tax imposed by this subchapter, a terminal operator, and a licensed...
• Texas Section 162.216 - Records
  (a) A supplier and permissive supplier shall keep: (1) a record showing the number of gallons of: (A) all diesel fuel inventories on hand at...
• Texas Section 162.217 - Information Required On Supplier's And Permissive Supplier's Return; Credits And Allowances
  (a) The monthly return and supplements of each supplier and permissive supplier shall contain for the period covered by the return: (1) the number of...
• Texas Section 162.218 - Duties Of Seller Of Diesel Fuel
  (a) A seller who receives or collects tax holds the amount received or collected in trust for the benefit of this state and has a...
• Texas Section 162.219 - Information Required On Distributor's Return
  The monthly return and supplements of each distributor shall contain for the period covered by the return: (1) the number of net gallons of diesel...
• Texas Section 162.220 - Information Required On Importer's Return; Allowances
  (a) The monthly return and supplements of an importer shall contain for the period covered by the return: (1) the number of net gallons of...
• Texas Section 162.221 - Information Required On Terminal Operator's Return
  (a) A terminal operator shall file with the comptroller a monthly information return and supplement showing the amount of diesel fuel received and removed from...
• Texas Section 162.222 - Information Required On Motor Fuel Transporter's Return
  The quarterly return and supplements of a motor fuel transporter shall contain for the period covered by the return: (1) the name, license number, and...
• Texas Section 162.223 - Information Required On Exporter's Return And Payment Of Tax On Imports
  The monthly return and supplements of an exporter shall contain for the period covered by the return: (1) the number of net gallons of diesel...
• Texas Section 162.224 - Information Required On Blender's Return
  The monthly return and supplements of each blender shall contain for the period covered by the return: (1) the number of net gallons of diesel...
• Texas Section 162.225 - Information Required On Interstate Trucker's Return
  The quarterly return and supplements of each interstate trucker shall contain for the period covered by the return: (1) the total miles traveled in all...
• Texas Section 162.226 - Information Required On Dyed Diesel Fuel Bonded User's Return
  The quarterly return and supplements of each dyed diesel fuel bonded user shall contain for the period covered by the return: (1) the number of...
• Texas Section 162.227 - Refund Or Credit For Certain Taxes Paid
  (a) A license holder may take a credit on a return for the period in which the sale occurred if the license holder paid tax...
• Texas Section 162.2275 - Refund For Certain Metropolitan Rapid Transit Authorities
  (a) Except as otherwise provided by this section, a metropolitan rapid transit authority operating under Chapter 451, Transportation Code, that is a party to a...
• Texas Section 162.228 - Refund For Bad Debts; Credit For Nonpayment
  (a) A licensed distributor may file a refund claim with the comptroller if: (1) the distributor has paid the taxes imposed by this subchapter on...
• Texas Section 162.229 - Claims For Refunds
  (a) A refund claim must be filed on a form provided by the comptroller, be supported by the original invoice issued by the seller, and...
• Texas Section 162.230 - When Diesel Fuel Tax Refund Or Credit May Be Filed
  (a) Except as otherwise provided by this section, a claim for a refund must be filed with the comptroller before the first anniversary of the...
• Texas Section 162.231 - Notice Regarding Dyed Diesel Fuel
  A notice stating "DYED DIESEL FUEL, NONTAXABLE USE ONLY, PENALTY FOR TAXABLE USE" must be: (1) provided by a licensed supplier, permissive supplier, or distributor...
• Texas Section 162.232 - Dyed Diesel Fuel Notice Required On Shipping Documents, Bills Of Lading, And Invoices
  The form of notice required by Sections 162.231(1) and (2) must be provided when the dyed diesel fuel is removed or sold and must appear...
• Texas Section 162.233 - Unauthorized Sale Or Use Of Dyed Diesel Fuel
  (a) A person may not sell or hold for sale dyed diesel fuel for any use that the person knows or has reason to know...
• Texas Section 162.234 - Alteration Of Dye Or Marker In Dyed Diesel Fuel Prohibited
  A person, with the intent to evade payment of tax, may not alter or attempt to alter the strength or composition of a dye or...

SUBCHAPTER D-1 COMPRESSED NATURAL GAS AND LIQUEFIED NATURAL GAS TAX

• Texas Section 162.235 - Use Of Dyed Fuel Prohibited
  (a) A person may not operate a motor vehicle on a public highway in this state with taxable motor fuel that contains dye in the...
• Texas Section 162.351 - Tax Imposed; Sale Of Fuel Delivered Into Fuel Supply Tank Of Motor Vehicle
  (a) A tax is imposed on the sale of compressed natural gas or liquefied natural gas that is delivered into the fuel supply tank of...
• Texas Section 162.352 - Tax Imposed; Delivery Of Fuel Into Fuel Supply Tank Of Motor Vehicle Not In Connection With Sale
  (a) A tax is imposed on the delivery of compressed natural gas or liquefied natural gas into the fuel supply tank of a motor vehicle...
• Texas Section 162.353 - Tax Rate; Unit Of Measurement
  (a) The rate of the tax under Sections 162.351 and 162.352 is 15 cents for each: (1) gasoline gallon equivalent or fractional part of compressed...
• Texas Section 162.354 - Backup Tax; Liability
  (a) A backup tax is imposed at the rate prescribed by Section 162.353 on: (1) a person who obtains a refund of tax on compressed...
• Texas Section 162.355 - Fuel Presumed Subject To Tax
  (a) All compressed natural gas and liquefied natural gas sold by a dealer and delivered into the fuel supply tank of a motor vehicle is...
• Texas Section 162.356 - Exemptions
  (a) The tax imposed by this subchapter does not apply to compressed natural gas or liquefied natural gas delivered into the fuel supply tank of:...
• Texas Section 162.357 - Dealer's License
  (a) A person may not sell compressed natural gas or liquefied natural gas that is delivered into the fuel supply tank of a motor vehicle...
• Texas Section 162.358 - Interstate Trucker's License
  (a) An interstate trucker's license authorizes a person who operates a motor vehicle described by Section 162.001(36) and fueled by compressed natural gas or liquefied...
• Texas Section 162.359 - License Application Procedure
  An applicant for a license under this subchapter must file an application using a form adopted by the comptroller that contains: (1) the name under...
• Texas Section 162.360 - Issuance And Display Of License
  (a) If the comptroller approves a license application, the comptroller shall issue a license to the applicant. A license holder shall post the license in...
• Texas Section 162.361 - Bond And Other Security For Taxes
  (a) The comptroller shall determine the amount of security required of a dealer, taking into consideration the amount of tax that has or is expected...
• Texas Section 162.362 - Returns And Payments; Allowances
  (a) A licensed dealer, on or before the 25th day of the month following the end of each calendar quarter, shall file a report and...
• Texas Section 162.363 - Records
  (a) A dealer shall keep a record showing: (1) compressed natural gas and liquefied natural gas inventories at the first of each month; (2) the...
• Texas Section 162.364 - Duties Of Persons Holding Tax Payments
  (a) A person who receives or collects tax under this subchapter holds the amount received or collected in trust for the benefit of this state...
• Texas Section 162.365 - Refund Or Credit For Certain Taxes Paid
  (a) A license holder may take a credit on a return for the period in which the purchase occurred, and a person who does not...
• Texas Section 162.366 - Credit For Bad Debt Or Nonpayment
  (a) A licensed dealer may take a credit on a return filed under this subchapter if: (1) the dealer paid the taxes imposed by this...
• Texas Section 162.367 - Claims For Refunds
  (a) A refund claim must be filed on a form provided by the comptroller, be supported by the original invoice issued by the dealer, and...
• Texas Section 162.368 - Refund For Certain Metropolitan Rapid Transit Authorities
  (a) Except as otherwise provided by this section, a metropolitan rapid transit authority operating under Chapter 451, Transportation Code, that is a party to a...

SUBCHAPTER E PENALTIES AND OFFENSES

• Texas Section 162.369 - When Compressed Natural Gas Or Liquefied Natural Gas Tax Refund Or Credit May Be Filed
  (a) Except as otherwise provided by this section, a claim for a refund must be filed with the comptroller before the first anniversary of the...
• Texas Section 162.401 - Failure To Pay Tax Or File Report
  (a) If a person having a license, or a person required to have a license, fails to file a report as required by this chapter...
• Texas Section 162.402 - Prohibited Acts; Civil Penalties
  (a) A person forfeits to the state a civil penalty of not less than $25 and not more than $200 if the person: (1) refuses...
• Texas Section 162.403 - Criminal Offenses
  Except as provided by Section 162.404, a person commits an offense if the person: (1) refuses to stop and permit the inspection and examination of...
• Texas Section 162.404 - Criminal Offenses: Special Provisions And Exceptions
  (a) A person does not commit an offense under Section 162.403 unless the person intentionally or knowingly engaged in conduct as the definition of the...
• Texas Section 162.405 - Criminal Penalties
  (a) An offense under Section 162.403(1), (2), (3), (4), (5), or (7) is a Class C misdemeanor. (b) An offense under Section 162.403(8), (9), (10),...
• Texas Section 162.406 - Criminal Penalties: Corporations And Associations
  (a) Except as provided by Subsection (b), Subchapter E, Chapter 12, Penal Code, applies to offenses under this chapter committed by a corporation or association....
• Texas Section 162.407 - Venue Of Criminal Prosecutions
  The venue for a prosecution under this subchapter is in Travis County or in the county where the offense occurred. Added by Acts 2003, 78th...
• Texas Section 162.408 - Negation Of Exception: Information, Complaint, Or Indictment
  An information, complaint, or indictment charging a violation of this chapter need not negate an exception to an act prohibited by this chapter, but the...
• Texas Section 162.409 - Issuance Of Bad Check Or Similar Sight Order To Licensed Distributor, Licensed Supplier, Or Permissive Supplier
  (a) A person commits an offense if: (1) the person issues or passes a check or similar sight order, as defined by Section 1.07, Penal...

SUBCHAPTER F ALLOCATION OF TAXES

• Texas Section 162.410 - Election Of Offenses
  If a violation of a criminal offense provision of this chapter by a person constitutes another offense under the laws of this state, the state...
• Texas Section 162.501 - Tax Administration Fund
  (a) Before any other allocation of the taxes collected under this chapter is made, one percent of the gross amount of the taxes shall be...
• Texas Section 162.502 - Allocation Of Unclaimed Refundable Gasoline Taxes
  (a) On or before the fifth workday after the end of each month, the comptroller, after making the deductions for refund purposes, shall determine as...
• Texas Section 162.5025 - Allocation Of Other Unclaimed Refundable Nondedicated Taxes
  (a) The comptroller by rule shall devise a method of determining as accurately as possible the: (1) number of gallons of fuel that are not...
• Texas Section 162.503 - Allocation Of Gasoline Tax
  (a) On or before the fifth workday after the end of each month, the comptroller, after making all deductions for refund purposes and for the...
• Texas Section 162.504 - Allocation Of Diesel Fuel Tax
  (a) On or before the fifth workday after the end of each month, the comptroller, after making deductions for refund purposes, for the administration and...
• Texas Section 162.5045 - Allocation Of Taxes Paid On Undyed Diesel Fuel Used Off-highway
  On or before the fifth workday after the end of each month, the comptroller shall determine as accurately as possible for the period since the...
• Texas Section 162.506 - Allocation Of Compressed Natural Gas And Liquefied Natural Gas Tax
  On or before the fifth workday after the end of each month, the comptroller, after making deductions for refund purposes and for the administration and...

Last modified: September 28, 2016