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Committee backs bill to shift fuel tax point to first licensed distributor, MDT and industry support
Summary
House Transportation Committee passed HB351, which moves the point of gasoline and special-fuel taxation to the first licensed distributor after terminal withdrawal or import; sponsors and MDT said the change improves tracking and compliance without increasing the gas tax.
The House Transportation Committee approved House Bill 351 on a voice vote after testimony from the bill sponsor, Montana Department of Transportation (MDT) officials and industry stakeholders.
Sponsor Representative Courtney Sprunger told the committee the bill shifts the statutory point of taxation from the last licensed distributor in the chain to the first licensed distributor who possesses the fuel after withdrawal from a terminal or when imported into the state. "This is about process," Sprunger said, adding the change is intended to simplify reporting and enforcement and "has…
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