58.1-2225 - Backup tax; liability. - Virginia Statutes

§ 58.1-2225. Backup tax; liability.

A. There is hereby levied a tax at the rate specified in § 58.1-2217 on thefollowing:

1. Dyed diesel fuel that is used to operate a highway vehicle for a taxableuse other than a use allowed under 26 U.S.C. § 4082;

2. Motor fuel that was allowed an exemption from the motor fuel tax and wasthen used for a taxable purpose; and

3. Motor fuel that is used to operate a highway vehicle after an applicationfor a refund of tax paid on the motor fuel is made or allowed on the basisthat the motor fuel was used for an off-highway purpose.

B. The operator of a highway vehicle that uses motor fuel that is taxableunder this section is liable for the tax. If the highway vehicle that usesthe fuel is owned by or leased to a motor carrier, the operator of thehighway vehicle and the motor carrier shall be jointly and severally liablefor the tax. If the end seller of motor fuel taxable under this section knewor had reason to know that the motor fuel would be used for a purpose that istaxable under this section, the operator of the highway vehicle and the endseller shall be jointly and severally liable for the tax.

C. The tax liability imposed by this section shall be in addition to anyother penalty imposed pursuant to this chapter.

D. Persons diverting motor fuel into Virginia that had an originaldestination outside of Virginia shall incur liability for the tax levied forsuch motor fuel, as specified in § 58.1-2217, and shall be subject to thereporting and payment requirements set forth in subsection E of § 58.1-2230.

(2000, cc. 729, 758; 2003, c. 781.)