Bill > SB164

This bill eliminates various tax discounts and administrative fee deductions across multiple tax collection processes in Alaska. Specifically, the bill removes the 1% deduction (up to $100) that motor fuel dealers currently receive when filing timely monthly returns for refined or motor fuel taxes. It also eliminates the 0.4% deduction that tobacco licensees can currently retain when submitting monthly tax returns. Additionally, the bill removes the tiered discount system for cigarette stamps, which previously allowed licensees to receive discounts ranging from 0-3% based on the total value of stamps purchased in a calendar year. These changes mean that businesses will now be required to remit the full tax amount without any administrative compensation deductions. The bill is set to take effect on July 1, 2025, and will impact how various fuel, tobacco, and cigarette-related taxes are collected in the state. By removing these discounts, the bill aims to increase tax revenue by ensuring that the full tax amount is collected without any deductions.

Business and Industry

https://www.akleg.gov/basis/Bill/Detail/34?Root=SB164