142.851. Timing election by distributors, requirements.

MISSOURI STATUTES AND CODES

142.851. Timing election by distributors, requirements.

Timing election by distributors, requirements.

142.851. 1. Each purchaser desiring to make an election undersection 142.848 shall present evidence to the director that:

(1) The applicant was a licensee in good standing under thepredecessor motor fuel statute as to which the applicant remitted tax tothe director; or

(2) The applicant meets the financial responsibility and bondingrequirements imposed by this chapter, which bond shall conform to thespecific requirements of this section.

2. The director may require a purchaser who pays the tax to asupplier to file with the director a surety bond payable to the state, uponwhich the purchaser is the obligor or other financial security, in anamount satisfactory to the director, calculated with a maximum of threetimes monthly potential tax payments with a maximum amount of one hundredfifty thousand dollars for gasoline and diesel fuel separately. Thedirector may require that the bond indemnify the director against the taxcredits claimed by the suppliers pursuant to section 142.854.

3. Each purchaser desiring to make an election in accordance withsection 142.848 shall not be subject to the provisions of subsection 2 ofthis section if the purchaser holds a valid distributor's license and meetsthe bonding requirements according to the law on the day prior to theeffective date of sections 142.800 to 142.953. Upon January 1, 1999, eachpurchaser holding a valid distributor's license issued prior to January 1,1999, may elect to become an eligible purchaser. Such purchaser shall havethe option to provide bonding as provided for distributors in section142.896.

4. The director shall have the authority to rescind a purchaser'seligibility and election to defer motor fuel tax remittances for thefailure to make timely tax-deferred payment of tax to a supplier pursuantto section 142.848, by sending written notice to all suppliers orpublishing notice of the revocation. As a condition of restoring apurchaser's eligibility the director may require further assurance of thefinancial responsibility of the purchaser, including increasing the bondrequired up to the three times potential liability without regard to amaximum, or any other action that the director may reasonably require toensure remittance of the motor fuel tax. Any person whose application isrefused or eligibility canceled by the director may seek review of thedetermination by the administrative hearing commission. Notwithstandingany other provision of the law, the administrative hearing commission shallnot grant a stay.

5. The director shall publish a list of eligible purchasers and makeit available to all suppliers.