Bill > SB1382

This bill amends the Motor Fuel Tax Law to expand the definition of "motor fuel" and clarify rules about tax refunds for motor fuel used in various contexts. Specifically, the bill broadens the definition of motor fuel to include both liquid and gaseous substances that are produced for operating motor vehicles, instead of just liquid substances. The bill also introduces an important clarification about tax refund claims, stating that incidental use of motor fuel on private roads or highways does not constitute a "purpose other than operating a motor vehicle upon the public highways" and therefore cannot be the basis for a tax refund claim. This means that if someone uses motor fuel on a private road while operating a vehicle, they cannot claim a tax refund based on that usage. The bill takes effect immediately, with certain provisions becoming active on January 1, 2026. The changes are intended to provide more precise language around motor fuel taxation and refund processes, potentially reducing ambiguity in how motor fuel tax laws are interpreted and applied.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=1382&GAID=18&DocTypeID=SB&SessionID=114&GA=104