Texas Comptroller of Public Accounts STAR System
DATE: October 29, 1999
TO: Distribution List
FROM: Bryant Lomax
SUBJECT: School Fund Benefit Fee Letter
Attached is School Fund Benefit Fee Letter and questionnaire which is being
mailed to 20 commercial bus companies today.
If you need any additional information, please contact Mary Gowen at 3-4062.
Robert Daniels, Acct. Maintenance
John Neel, Adm. Law Judges
Steve Hudson, Agency Administration
Kenny McLeskey, Claims
Dona Medlock, Enforcement
Jeff Wiginton, Executive Administration
Bill Clemmer, Field Operations
T. C. Mallett, Fiscal Management
Ken Welch, Fund Accounting
Ken Nordeman, Gen. Law/Open Rcd.
Debbie Peterson, ITS
Ginger Salone, Information Technology
Loyd Cates, Information Technology
Jesse Ancira, Jr., Legislative Liaison
Luis Saenz, Public Outreach
Dovie Ellis, Revenue Administration
Wayne Akridge, Revenue Administration
Tom Ellis, Revenue Accounting
Frank Jones, Revenue Accounting
Mike Reissig, Revenue Estimating
Jim Teaver, Revenue Processing
Lisa Minton, Research & Policy Dev.
Martin Cherry, Special Counsel
Don Kiser, Strategic Research
Harold Lee, Tax Administration
Karey Barton, Tax Policy
Mona Shoemate, Tax Policy
Tax Policy Management
Tax Policy, Information Support Staff
cc: Carole Keeton Rylander
October 29, 1999
House Bill 3159, effective September 1, 1999, provided that certain commercial
motor vehicles are exempt from the motor fuel tax paid on diesel fuel used
exclusively to transport passengers for compensation or hire between points in
Texas on fixed or scheduled routes. However, a new school fund benefit fee of
$0.04875 per gallon is owed on diesel fuel exempted from the motor fuel tax
under this bill.
To qualify for the motor fuel tax exemption, the commercial motor vehicle must
have a registered gross weight of more than 26,000 pounds or be designed to
transport more than fifteen passengers, including the driver, and the vehicle
owner or operator must not be a political subdivision.
An entity that qualifies for the exemption must pay the motor fuel tax to its
supplier on ALL purchases of diesel fuel, then file a claim for refund in the
calendar month following the month in which the diesel fuel is used while
traveling fixed or scheduled routes in this state. The amount of school fund
benefit fee due for each monthly reporting period will be paid from the
proceeds of your monthly claim for refund of motor fuel taxes. In the event
the school fund benefit fee due exceeds the amount of your motor fuel tax
refund, any remaining amount should be paid with your report.
The school fund benefit fee report and payment are due not later than the last
day of the month following the month in which the liability is incurred.
However, the report and payment for September, October, and November 1999 will
not be due until January 31, 2000 and will be included with the December 1999
Please complete and return the enclosed questionnaire to us by December 1,
1999, so we can identify the companies entitled to the refund and responsible
for paying the school fund benefit fee.
Your assistance is greatly appreciated. If you have any questions, please
don't hesitate to call Steve White or Kirk Davenport at 1-800-531-5441,
extension 3-4499 or 3-3849, respectively.
Bryant K. Lomax
Manager, Tax Policy Division
ACCESSION NUMBER: 9910844L
DOCUMENT TYPE: L
TAX TYPE: FUELS-CH153