Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2015
 

Oil Spill Response, Prevention, and Administration Fees Annotations

BONDED JET FUEL

Bonded jet fuel received at a marine terminal and then used in international flights is not subject to the fees. The fuel enters the state under bond pursuant to federal law and regulation and it remains under bond in segregated storage until it is shipped by pipeline to an airport facility where it is used exclusively on international flights. The imposition of the fees on such fuel would conflict with the federal government's regulation of foreign commerce. 3/23/93.

CREDIT INTEREST

There is no statutory authority for the payment of credit interest on refunds made pursuant to Government Code section 8670.48(i)(1) or Revenue and Taxation Code section 46653. Generally, such refunds are made when funds in the Oil Spill Response Trust Fund exceed $50,000,000. The statute authorizes the payment of credit interest on refunds made pursuant to Revenue & Taxation Code section 46501, for fees paid more than once or erroneously or illegally collected or computed. 6/5/92.

DIRECTIONAL DRILLING

An oil production facility is located on or near a beach and is 700 to 800 feet from the ocean. The oil wells are drilled 8,000 to 10,000 feet straight down and then angle out towards the marine waters to between 12,000 to 14,000 feet below the ocean floor. Since the oil production facility is not located in marine waters, the facility is not required to register or pay the fee. 4/16/98. (M99–1).

PETROLEUM PRODUCTS

Tar

Tar is subject to the fees because it is a naturally occurring liquid hydrocarbon rather than a solid. 6/11/91.

ANNOTATIONS DELETED

Annotation Title Edition
Chemicals Produced by a Petrochemical Plant 7/24/91 2003–1
Definition 5/06/92 2003–1
Independent Crude Oil Producer2015–1
LPG 5/28/91 2003–1
Motor Oil and Lube Oil 7/24/91 2003–1
Net Barrels 6/30/97 2003–1
Petroleum Products—Alcohol 7/24/91 2010–1
Transport of Crude Oil by Pipeline2015–1