Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2011
 

Use Fuel Tax Law

CHAPTER 3.5. COLLECTION OF TAX BY VENDOR.

Article 1. Collection of Tax by Vendor1

Section 8732.5

8732.5. Credit for bad debt losses. A vendor is relieved from liability to collect use fuel tax which became due and payable subsequent to July 1, 1958, insofar as the sales of the fuel are represented by accounts which have been found worthless and charged off for income tax purposes. If the vendor has previously paid the amount of the tax, he may, under rules and regulations prescribed by the board, take a credit in such amount. If any such accounts are thereafter in whole or in part collected by the vendor, the gallons of fuel represented by the amounts collected shall be included in the first return filed after such collection and the amount of the tax thereon paid with the return. The board may, at its option, require the seller to submit periodical reports listing accounts delinquent for a 90-day period or over.

History.—Added by Stats. 1958, p. 8, in effect June 29, 1958. Stats. 1959, p. 3263, in effect September 18, 1959, reworded the section so as to eliminate a requirement that the credit be taken in the report filed for the period in which the debt was found to be worthless.

1Stats. 1991, Ch. 770, in effect January 1, 1992, added "Article 1. Collection of Tax by Vendor." immediately preceding Section 8732.