reglab/statecodes huggingface dataset:
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5607 - Fuel imported by other than licensed supplier; payment of tax; fee; import limitation

28-5607.
Fuel imported by other than licensed supplier;  payment of tax;  fee;  import limitation
A. A person who is not licensed as a supplier and who imports motor fuel from a point outside this state to a point in this state shall pay both:
1. The tax at a department facility approved by the director before importing the fuel.
2. A twenty-five dollar administrative processing fee.
B. A person who is not licensed as a supplier and who causes motor fuel on which taxes have not been collected to be transported from a point outside this state to a point in this state shall pay to the director the following:
1. The tax required by section 28-5606 or 28-8344.
2. A penalty equal to the tax required by section 28-5606 or 28-8344.
3. Interest of one per cent per month or portion of a month on the tax.
C. A person who is not licensed as a supplier may not import more than sixteen thousand gallons of motor fuel per calendar year.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5608 - Fuel imported in fuel tanks; violation; classification

28-5608.
Fuel imported in fuel tanks;  violation;  classification
A. An owner or operator of a motor vehicle,  watercraft or aircraft who imports motor fuel into this state in the fuel tank or tanks of a motor vehicle,  watercraft or aircraft in a quantity exceeding the capacity of the fuel tank or tanks of that vehicle,  watercraft or aircraft according to the manufacturer's stock specifications shall pay to the director the tax required of suppliers on the excess motor fuel.
B. A person who violates this section is guilty of a class 2 misdemeanor.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5609 - Railroad common carrier exemption; exception; report

28-5609.
Railroad common carrier exemption;  exception;  report
A. Except for section 28-5607,  subsection B,  sections 28-5602,  28-5603,  28-5608,  28-5610,  28-5611,  28-5612,  28-5622,  28-5624 and 28-5923 and this section,  this article does not apply to railroad common carriers that are not engaged in the business of a supplier for pecuniary gain.
B. A railroad common carrier:
1. If it imports motor fuel,  shall make a verified report to the director on forms prescribed and furnished by the director,  on or before the twenty-seventh day of the next succeeding month,  showing the amount of fuel it has imported.
2. If it sells,  otherwise disposes of or uses any fuel it has imported in a motor vehicle operated on the highways in this state or in a watercraft or an aircraft,  shall make a verified report to the director on forms prescribed and furnished by the director,  on or before the twenty-seventh day of the next succeeding month,  showing either:
(a) The name of the person or persons to whom the fuel was sold or otherwise disposed of.
(b) If used by it in a motor vehicle operated on the highways in this state or in a watercraft or an aircraft,  a description of the vehicle,  watercraft or aircraft in which the fuel was used.
3. Shall pay to the director at the time the report is made the tax required of suppliers by this article.
4. Shall furnish to the director other information concerning motor fuel imported by it as the director requires.
5. May be required to file a bond with the director in an amount fixed by the director to ensure compliance with this section.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5611 - Refunds; motor vehicle fuel

28-5611.
Refunds;  motor vehicle fuel
A. Except as provided in subsection B of this section,  on application to the director pursuant to this article and if section 28-5612 is complied with,  a person who buys and uses motor vehicle fuel shall receive a refund in the amount of the tax if the person pays the tax on the fuel and either:
1. Uses the fuel other than in any of the following:
(a) A motor vehicle on a highway in this state.
(b) Watercraft on the waterways of this state.
(c) A motor vehicle operating on a transportation facility or toll road pursuant to chapter 22 of this title.
2. Buys aviation fuel for use in aircraft applying seeds,  fertilizer or pesticides.
3. Loses the fuel by fire,  theft or other accident.
B. If a claim for refund is based on the use of motor vehicle fuel in aircraft,  five cents of the tax collected on each gallon of motor vehicle fuel claimed shall remain in the state aviation fund,  and the department shall refund the remainder of the tax pursuant to section 28-5612.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5613 - Licensee refunds; definition

28-5613.
Licensee refunds;  definition
A. A licensee who is seeking a refund shall apply pursuant to section 28-5612,  except that a licensee shall file an application for refund within three years after the date of purchase or invoice of the motor fuel for which a refund is claimed.
B. For the purposes of this section,  " licensee"  includes a supplier,  an interstate user,  a restricted distributor or a licensed use fuel vendor.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5614 - Refunds; use fuel

28-5614.
Refunds;  use fuel
A. If a vendor pays the use fuel tax rate for use class motor vehicles on use fuel that is actually used in the propulsion of a light class motor vehicle on a highway in this state or that is actually used in the propulsion of a use class motor vehicle that is exempt pursuant to section 28-5432 from the weight fee prescribed in section 28-5433 on a highway in this state and for the purpose of convenience and facility only,  the vendor may apply to the department for a refund of the difference between the amount of the use class motor vehicle use fuel tax paid and the amount of the light class motor vehicle use fuel tax on the same number of gallons purchased.
B. If a person who transports forest products on a highway in this state in compliance with the requirements of section 41-1516 pays the use fuel tax rate prescribed in section 28-5606,  subsection B,  paragraph 2 for a use class motor vehicle that is eligible for the use fuel tax rate prescribed in section 28-5606,  subsection B,  paragraph 3,  the person may apply to the department for a refund of the difference between the amount of the use fuel tax paid and the use fuel tax rate prescribed for a motor vehicle transporting forest products.
C. The director may prescribe any forms the director deems necessary to implement this section.
D. A vendor may file an application for a refund pursuant to this section either:
1. On a monthly basis subject to the limitations prescribed in section 28-5612.
2. If the amount of the requested refund is at least seven hundred fifty dollars,  except that a vendor shall not file an application for a refund pursuant to this paragraph more frequently than once each week.
E. The director shall:
1. Pay the refund from current use fuel tax receipts.
2. Deduct the refund from the monthly use fuel tax receipts before the deposit pursuant to section 28-5730 is made.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5615 - Presumption of use

28-5615.
Presumption of use
A. For the proper administration of this article and to prevent evasion of the use fuel tax,  it is presumed,  until the contrary is established by competent proof under rules and procedures the director adopts,  that all use fuel received into any receptacle on a motor vehicle from which fuel is supplied to propel the vehicle is consumed in propelling the vehicle on the highways in this state.
B. If a vendor's dealings in use fuel primarily involve delivery of use fuel into the fuel tanks of motor vehicles it is presumed,  until the contrary is established by competent proof under procedures the director adopts,  that the vendor's total use fuel acquisitions have been delivered into the fuel tanks of motor vehicles for the propulsion of the vehicles on the public highways.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5617 - Vendors; receipt

28-5617.
Vendors;  receipt
A. A vendor of use fuel,  the use of which is taxable under this article,  who sells and delivers the use fuel into a fuel tank shall give the user a receipt for the use fuel. The receipt shall include the following:
1. The date of purchase.
2. The seller's name and address.
3. The number of gallons purchased.
4. The type of fuel purchased.
5. The price per gallon of the fuel.
6. The rate of tax paid.
7. Other information required by the director.
B. A person who is the owner of use fuel that is contained in bulk storage and who permits the fuel to be delivered into the fuel tank of a motor vehicle for which the person is not the owner or lessee:
1. Is presumed to be a vendor of use fuel.
2. Shall comply with the requirements in this article for vendors of use fuel.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5618 - Report requirements

28-5618.
Report requirements
A. On or before the twenty-seventh day of each month,  a supplier shall file with the director a true and verified statement in a form prescribed by the director showing:
1. The total number of gallons of motor vehicle fuel or aviation fuel,  blended,  imported,  exported or acquired during the preceding calendar month.
2. The number of gallons of motor vehicle fuel or aviation fuel sold or otherwise disposed of by the supplier for use in each of the several counties of this state.
3. The total number of gallons of motor vehicle fuel that is included in this subsection and that is intended for use in aircraft.
4. Other information the director requires.
B. In addition to making the statement required in subsection A and if the supplier received an interstate shipment of motor vehicle fuel during the preceding month,  the supplier shall report on or before the twenty-seventh day of each month to the director in a form prescribed by the director:
1. The quantity and particular description of the fuel received by interstate shipment and delivered intercounty.
2. The name of the consignor and consignee.
3. The date shipped.
4. The date received.
5. How it was shipped.
6. Other information the director requires.
C. A supplier may amend a report filed pursuant to this section within three years after the date the original tax report was filed unless the report for the period is final due to an audit.
D. If an amended report results in a reduction in taxes paid,  the department shall credit the licensee's account unless the licensee files a written request for a refund.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5619 - Records required; violation; classification

28-5619.
Records required;  violation;  classification
A. Suppliers and restricted distributors shall maintain and keep records of motor vehicle fuel or aviation fuel received,  acquired,  used,  sold and delivered in this state by the supplier or restricted distributor,  the amount of tax paid as part of the purchase price,  invoices,  bills of lading and other pertinent records and papers required by the director for the reasonable administration of this article at least until the later of the following:
1. Three years after a report is required to be filed pursuant to this article.
2. Three years after a report is filed.
B. Any person,  other than a restricted distributor,  purchasing motor vehicle fuel taxable under this article or aviation fuel taxable under section 28-8344 from a supplier for the purpose of resale shall maintain and keep for one year a record of motor vehicle fuel or aviation fuel received,  the amount of tax paid to the supplier as part of the purchase price,  delivery tickets,  invoices,  bills of lading and other records the director requires.
C. Each distributor and vendor shall maintain and keep for three years the following:
1. Records of use fuel received,  sold or delivered in this state by the distributor or vendor.
2. Invoices,  bills of lading and other pertinent records and papers required by the director for the reasonable administration of this article.
D. The director may require distributors to file information as to sales or deliveries to vendors or users of use fuel at the times and in the form as the director requires.
E. A person who violates this section is guilty of a class 1 misdemeanor.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5620 - Records and equipment inspections; hearings; use restrictions; violation; costs

28-5620.
Records and equipment inspections;  hearings;  use restrictions;  violation;  costs
A. The director or a deputy,  employee or agent authorized by the director may examine during usual business hours records,  books,  papers,  storage tanks and any other equipment of a person pertaining to motor fuel imported,  received,  sold,  shipped,  delivered or used to either:
1. Verify the truth and accuracy of a statement,  report,  return or claim.
2. Ascertain whether the tax imposed by this article or section 28-8344 has been paid.
3. Determine the financial responsibility of the supplier for the payment of the taxes imposed by this article or section 28-8344.
4. Determine the validity of a refund.
B. In the enforcement of this article,  the director may hold hearings,  take testimony of persons,  issue subpoenas for the purpose of taking testimony,  compel attendance of witnesses and conduct investigations the director deems necessary.
C. The director may prescribe forms for required reports or claims for refund or forms of record to be used by suppliers,  distributors,  restricted distributors,  vendors or refund claimants.
D. Records required by this article may be maintained in this state. If the records are maintained outside this state and on request of the director,  the records shall be made available at a location in this state designated by the director. If the records are maintained outside this state and will not be made available at the location designated by the director,  the director may require the person to whom a records request has been made to pay in advance costs reimbursable for subsistence and travel expenses for the director or an agent of the director to conduct the examination of the records.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5621 - Failure to report or pay tax; penalties; interest; transmittal date

28-5621.
Failure to report or pay tax;  penalties;  interest;  transmittal date
A. Except as otherwise provided in this subsection,  if a supplier fails to submit the monthly report to the director on or before the twenty-seventh day of the month,  fails to submit the data or information required under this article in the monthly report or fails to pay the amount of taxes due when payable,  the supplier shall pay interest on the unpaid tax at the rate of one per cent per month or portion of a month from the due date until paid and a penalty of five per cent shall be added to any tax not paid on or before the day prescribed for the payment of the tax. A supplier is not subject to the five per cent penalty on transactions reported within ninety days after the due date if the supplier has paid at least ninety-nine and one-half per cent of the actual tax liability for the month by the due date.
B. In addition to the penalty provided by subsection A,  a person who fails to file a report required by this section when due shall pay an additional penalty of twenty-five dollars.
C. If a report or remittance required by this article is transmitted through the United States mail and is not received by the director until after the date on which the report is required to be filed or the payment was required to be made and if the envelope in which the report or remittance is enclosed has a post office cancellation mark dated on or before that date,  on receipt of the envelope,  the director shall treat the report or remittance as if it had been received on the required date.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5622 - Tax estimate

28-5622.
Tax estimate
If a person neglects or refuses to make and file a report as required by this article,  or files an incorrect or fraudulent report,  the director shall determine from information obtainable in the director's office or elsewhere the number of gallons of motor fuel with respect to which the person has incurred liability under this article or section 28-8344.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5623 - Civil penalty; use fuel purchaser; vendor refund; financial penalty prohibited; subsequent violations

28-5623.
Civil penalty;  use fuel purchaser;  vendor refund;  financial penalty prohibited;  subsequent violations
A. Notwithstanding any other law,  if a person intentionally purchases use fuel for use in a use class motor vehicle that is not exempt pursuant to section 28-5432 from the weight fee prescribed in section 28-5433 and the person pays the use fuel tax rate for a light class motor vehicle,  all of the following apply:
1. Except as provided in subsection B of this section,  the person is subject to a civil penalty of one thousand dollars or ten dollars for each gallon of use fuel dispensed,  whichever is greater,  and shall pay to the department the difference between the amount of light class motor vehicle use fuel tax paid and the amount of the use class motor vehicle use fuel tax on the same number of gallons purchased.
2. The department may not deny a refund requested by a vendor pursuant to section 28-5614 for that purchase.
3. The department shall not impose any penalty,  including a financial penalty of any kind,  on a vendor for that purchase if the purchase was determined as a result of any inquiry,  including any audit process.
B. For a second or subsequent violation,  the civil penalty shall be determined by multiplying the amount prescribed in subsection A of this section by the number of prior violations.
C. A vendor shall not be liable for the civil penalty imposed by this section provided the vendor is not the owner or operator of the vehicle into which the fuel was dispensed or conspired with the purchaser to evade the proper tax rate.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5624 - Transportation of fuel by motor vehicle; documentation; violation; penalties

28-5624.
Transportation of fuel by motor vehicle;  documentation;  violation;  penalties
A. An operator of a motor vehicle transporting motor fuel on a highway in this state shall carry documentation to accompany the shipment at all times while the shipment is being transported on the highways in this state. The director may inspect the documentation at any time.
B. The documentation shall include:
1. The date of shipment of the fuel.
2. The quantity and particular description of the fuel.
3. The names of the consignor and consignee.
4. The destination state of the fuel shipment.
5. Other information as the director requires.
C. An operator of a motor vehicle transporting motor fuel in this state who fails to carry documentation at the time and in the manner required pursuant to subsection A of this section shall pay to the director a penalty of one hundred dollars for each shipment not accompanied by the required documentation in addition to payment of the tax required by section 28-5606 or the tax prescribed in section 28-8344. An operator of a motor vehicle transporting motor fuel may apply for abatement of the penalty pursuant to section 28-5934.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5626 - Suppliers; vendors; licenses required

28-5626.
Suppliers;  vendors;  licenses required
A. Except as provided in section 28-5607,  a person who acts as a distributor and who possesses motor fuel on which fuel taxes have not been accrued or collected by a supplier shall be licensed as a supplier.
B. It is unlawful for a person to engage in business in this state as a supplier,  unless the person has a license issued by the director to engage in that business.
C. A person who sells use fuel for delivery directly into a vehicle fuel tank shall also be licensed as a vendor and shall maintain separate business records.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5627 - License application

28-5627.
License application
A. To obtain a license,  a supplier shall file with the director an application under oath and in the form the director prescribes including:
1. The name under which the supplier will transact business in this state.
2. The location and address of the supplier's principal office or place of business in this state.
3. The name and complete residence address of either:
(a) The owner.
(b) The partners,  if the supplier is a partnership.
(c) The principal officers,  if the supplier is a corporation or association.
4. If the supplier is a corporation or association organized under the laws of another state,  territory or country,  a certified copy of the certificate of license issued by the corporation commission showing that the corporation or association is authorized to transact business in this state.
5. A bond of the character stipulated and in the amount provided for in section 28-5631.
6. A filing fee of fifty dollars.
7. Other information the director requires.
B. A person who desires to precollect the tax imposed by this article as a supplier and who is a permissive supplier may obtain a permissive supplier's license by filing an application as prescribed in subsection A of this section. Application for or possession of a permissive supplier's license does not in itself subject the applicant or licensee to the jurisdiction of this state for any purpose other than administration and enforcement of this article.
C. The director shall not issue a license unless the application is accompanied by the required bond or evidence that the bond exists.
D. The director shall keep and file all applications and bonds with an alphabetical index of the applications and bonds and a record of all licensed suppliers.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5628 - Refusal to issue license

28-5628.
Refusal to issue license
If an application for a license to transact business as a supplier in this state is filed by a person whose license has previously been cancelled for cause by the director or if the director is of the opinion that the application is not filed in good faith or that the application is filed by some person as a subterfuge for a real person in interest whose license or registration has previously been cancelled for cause by the director and after a hearing,  the director may refuse to issue a license to transact business as a supplier in this state. The director shall give the applicant five days' notice in writing of the hearing. The applicant may appear in person or by counsel and present testimony.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5630 - License; assignability; display; duplicates

28-5630.
License;  assignability;  display;  duplicates
A. A license issued to a supplier under section 28-5629:
1. Is not assignable.
2. Is valid only for the supplier in whose name it is issued.
3. Shall be displayed conspicuously in the principal place of business of the supplier in this state.
B. A licensee shall obtain a duplicate license for each established branch office or location for a fee of five dollars and shall display the duplicate license in the same manner as the original license displayed in the licensee's principal place of business.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5633 - License cancellation

28-5633.
License cancellation
A. The director may immediately cancel the license of a supplier and notify the supplier in writing of the cancellation by certified mail,  mailed to the last known address of the supplier appearing in the files of the department,  if the supplier either:
1. Files a false report of data or information required by this article.
2. Fails,  refuses or neglects to file a monthly report or any other report required by this article.
3. Fails,  refuses or neglects to pay the full amount of the tax required by this article or section 28-8344.
B. The director may cancel a license that is issued to any supplier and that becomes effective sixty days after the date of receipt of the written request of the supplier for the cancellation. The director shall not cancel a license on request of a supplier unless the supplier pays,  before the date of the cancellation,  all taxes payable under this article or section 28-8344 and all penalties and fines accruing by reason of the supplier's failure to make accurate reports as required by this article or to pay the taxes or penalties.
C. The director may cancel the license of a supplier on investigation and sixty days' notice mailed to the last known address of the supplier if the director determines that the person to whom the license has been issued is no longer engaged in the business of a supplier and has not been engaged in the business of a supplier for six months before the cancellation.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5634 - Bond cancellation

28-5634.
Bond cancellation
If the license of a supplier is cancelled by the director pursuant to section 28-5633 and if the supplier has paid all taxes due and payable by the supplier as required by this article or section 28-8344 on the receipt,  sale or use of motor vehicle fuel or aviation fuel and has paid all interest and penalties accruing by reason of the supplier's failure to make accurate reports or to pay the tax and interest and penalties,  the director shall cancel and surrender the bond filed by the supplier.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5635 - Discontinuance, sale or transfer of business; violation; classification

28-5635.
Discontinuance,  sale or transfer of business;  violation;  classification
A. When a supplier ceases to engage in business as a supplier in this state and discontinues,  sells or transfers the business:
1. The supplier shall notify the director in writing at least ten days before the discontinuance,  sale or transfer takes effect. The notice shall give:
(a) The date of discontinuance,  sale or transfer of the business.
(b) The name and address of the purchaser or transferee of the business.
2. All taxes,  penalties and interest not then due and payable under this article or section 28-8344 are due and payable concurrently with the discontinuance,  sale or transfer. Concurrent with the discontinuance,  sale or transfer,  the supplier shall:
(a) Make a report.
(b) Pay all taxes,  interest and penalties.
(c) Surrender to the director the license issued to the supplier by the director.
B. Unless the notice is given to the director,  the purchaser or transferee is liable to this state for the amount of all taxes,  penalties and interest accrued under this article or section 28-8344 against the supplier who is selling or transferring the supplier's business on the date of the sale or transfer but only to the extent of the value of the property and business that is acquired from the supplier.
C. A person who violates this section is guilty of a class 1 misdemeanor.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5636 - Supplier blanket election

28-5636.
Supplier blanket election
A. A licensed supplier may and a licensed permissive supplier shall make a blanket election with the department to treat all removals from all of its out-of-state terminals with a destination in this state as shown on the terminal-issued shipping paper or bill of lading as if the removals were removed across the rack by the supplier from a terminal in this state for all purposes.
B. The election provided by this section shall be made by filing a notice of election with the department.
C. The department shall release a list of electing suppliers under this section on request by any person.
D. The absence of an election by a supplier under this section in no way relieves the supplier of responsibility for remitting the tax imposed by this article on the removal from an out-of-state terminal for import into this state by the supplier.
E. Any supplier that makes the election provided by this section shall precollect the tax imposed pursuant to this article or the tax imposed pursuant to section 28-8344 on all removals from a qualified terminal on its account as a position holder,  or as a person receiving motor vehicle or aviation fuel from a position holder pursuant to a two party exchange agreement without regard to the license status of the person acquiring the motor vehicle or aviation fuel from the supplier,  the point or terms of sale or the character of delivery.
F. Each supplier who elects to precollect tax under this section agrees to waive any defense that the state lacks jurisdiction to require collection on all out-of-state sales by the supplier as to which the supplier had knowledge that the shipments were destined for this state and agrees that this state imposes the requirement pursuant to this subsection under its general police powers to regulate the movement of motor vehicle or aviation fuel.
G. Each supplier who elects to precollect tax pursuant to this section is not subject to any civil penalties or interest imposed pursuant to this article for any corrections resulting from a diversion of the motor vehicle or aviation fuel from the original destination as represented by the purchaser or the agent of the purchaser.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5637 - Collection of fuel tax from purchaser; deferred remittance election

28-5637.
Collection of fuel tax from purchaser;  deferred remittance election
A. Each supplier who sells motor fuel shall precollect from and remit on behalf of the purchaser the motor vehicle fuel or use fuel tax imposed pursuant to this article or the aviation fuel tax imposed pursuant to section 28-8344.
B. At the election of an eligible purchaser,  the supplier shall not require a payment of the motor fuel tax on transport truck loads from the purchaser sooner than five business days before the date on which the tax is required to be remitted by the supplier under section 28-5925 or on other terms agreed to by the eligible purchaser and the supplier. This subsection does not apply if the supplier requires the purchaser to pay cash or a cash equivalent for motor fuel purchases.
C. The election shall be evidenced by a written statement from the department as to the purchaser eligibility status as determined pursuant to section 28-5638 and is subject to a condition that the remittances by the eligible purchaser of all amounts of tax due the supplier shall be paid by electronic funds transfer on or before five days preceding the date of the remittance by the supplier to the department.
D. The election by the eligible purchaser under this section may be terminated by the supplier if the eligible purchaser does not make timely payments to the supplier as required by this section.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5638 - Deferred remittance election eligibility

28-5638.
Deferred remittance election eligibility
A. Each purchaser that desires to make an election under section 28-5637 shall present evidence to the department that either:
1. The applicant was a licensed distributor in good standing before January 1,  1998.
2. The applicant meets the financial responsibility and bonding requirements imposed by this article. The bond shall conform to the specific requirements of this section.
B. The department may require a purchaser that pays the tax to a supplier to file with the department a surety bond that is payable to this state and on which the purchaser is the obligor,  or other financial security,  in an amount satisfactory to the department. The department may require that the bond indemnify the department against uncollectible tax credits claimed by the supplier under section 28-5639.
C. The department may rescind a purchaser's eligibility and election to defer motor vehicle or aviation fuel tax remittances after a hearing and on a showing of good cause,  including failure to make a timely tax deferred payment of tax to a supplier under section 28-5637,  by sending written notice to all suppliers or publishing notice of the revocation pursuant to rules. The department may require further assurance of the financial responsibility of the purchaser,  may increase the bond requirement for that purchaser or may take any other action that the department may require to ensure remittance of the motor vehicle or aviation fuel tax.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5639 - Uncollectible tax credit

28-5639.
Uncollectible tax credit
A. In computing the amount of motor fuel tax due,  the supplier is entitled to a credit against the tax payable in the amount of tax paid by the supplier that has become uncollectible from an eligible purchaser.
B. The supplier shall provide notice to the department of a failure to collect the tax within thirty days after the earliest date on which the supplier was entitled to collect the tax from the eligible purchaser under section 28-5637.
C. The credit shall be claimed on the first return after the expiration of the thirty day period if the payment remains unpaid as of the filing date of that return or the credit is disallowed.
D. The claim for credit shall identify the defaulting eligible purchaser and any tax liability that remains unpaid.
E. If an eligible purchaser fails to make a timely payment of the amount of tax due,  the credit of the supplier is limited to the amount due from the purchaser,  plus any tax that accrues from that purchaser for a period of thirty days after the date of failure to pay.
F. An additional credit shall not be allowed to a supplier under this section until the department authorizes the purchaser under section 28-5638 to make a new election.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5640 - Collection allowance

28-5640.
Collection allowance
Each supplier and permissive supplier that properly remits tax under this article may retain four-tenths of one per cent of the taxes imposed by this article and collected and remitted by that supplier in accordance with this article to cover the costs of administration imposed by this article,  including reporting,  audit compliance and shipping paper preparation,  except that the amount retained under this article shall not exceed two hundred thousand dollars in any one calendar year.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5643 - Reliance on representations

28-5643.
Reliance on representations
A. A supplier and a terminal operator are entitled to rely for all purposes of this article on the representation by the transporter,  the shipper or the agent of the shipper as to the intended state of destination.
B. The shipper,  importer,  transporter,  agent of the shipper and any purchaser,  not the supplier or terminal operator,  are jointly liable for any tax otherwise due to this state as a result of a diversion of the motor fuel from the represented destination state.
C. A terminal operator is entitled to rely on the representation of a licensed supplier with respect to the obligation of the supplier to precollect tax and the related shipping paper representation to be as shown on the shipping paper.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5644 - Terminal operator; joint and several liability

28-5644.
Terminal operator;  joint and several liability
A. A terminal operator is jointly and severally liable for the motor vehicle fuel or use fuel tax imposed pursuant to this article or the aviation fuel tax imposed pursuant to section 28-8344 if both of the following apply:
1. The position holder with respect to the motor vehicle,  use or aviation fuel is a person other than the terminal operator.
2. The terminal operator does not meet the conditions prescribed in subsection B of this section.
B. The terminal operator is not liable for the motor vehicle fuel or use fuel tax imposed pursuant to this article or the aviation fuel tax imposed pursuant to section 28-8344 if at the time of removal both of the following apply:
1. The terminal operator has an unexpired notification certificate from the position holder as required by the United States internal revenue service.
2. The terminal operator has no reason to believe that any information in the certificate is false.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5645 - Dyed diesel use; violation; classification

28-5645.
Dyed diesel use;  violation;  classification
A. A person shall not operate or maintain a motor vehicle on any highway in this state with use fuel contained in the fuel supply tank for the motor vehicle that contains dye as provided under section 28-5610,  subsection A,  paragraph 8.
B. This section does not apply to:
1. Persons operating motor vehicles that have received use fuel into their fuel tanks outside of this state in a jurisdiction that permits introduction of dyed diesel fuel of that color and type into the fuel tank of highway vehicles.
2. Uses of dyed diesel fuel on the highway that are lawful under the United States internal revenue code and regulations issued under the United States internal revenue code and as set forth in section 28-5716 unless otherwise prohibited by this article.
3. A person operating a motor vehicle pursuant to section 28-5649.
C. Any person who knowingly violates or knowingly aids and abets another person in violating this section with the intent to evade taxes imposed pursuant to this article is guilty of a class 1 misdemeanor.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5646 - Dyed diesel notice

28-5646.
Dyed diesel notice
A. A notice stating " dyed diesel fuel,  nontaxable use only,  penalty for taxable use"  shall be:
1. Provided by a terminal operator to any person who receives dyed diesel fuel at a terminal rack of that terminal operator.
2. Provided by a seller of dyed diesel fuel to its buyer if the diesel fuel is located outside the bulk transfer terminal system and is not sold from a retail pump posted in accordance with paragraph 3.
3. Posted by a seller on any retail pump where it sells dyed diesel fuel for use by its buyer.
B. The form of notice required under subsection A,  paragraphs 1 and 2 shall be provided by the time of the removal or sale and shall appear on shipping papers,  bills of lading and invoices accompanying the sale or removal of the dyed diesel fuel.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5647 - Dyed diesel; prohibited acts; joint and several liability

28-5647.
Dyed diesel;  prohibited acts;  joint and several liability
A. Except as provided in section 28-5649,  a person shall not sell or hold for sale dyed diesel fuel for any use that the person knows or has reason to know is not a nontaxable use of the fuel.
B. A person shall not use or hold for use any dyed diesel fuel for a use other than a nontaxable use if the person knew or had reason to know that the fuel was so dyed.
C. A person shall not wilfully,  with intent to evade tax,  alter or attempt to alter the strength or composition of any dye or marker in any dyed diesel fuel.
D. A business entity and each officer,  employee or agent of the entity who wilfully participates in any act in violation of this section are jointly and severally liable with the entity as follows:
1. For a penalty of one thousand dollars for each occurrence or ten dollars per gallon of dyed diesel involved,  whichever is more.
2. For multiple offenses,  the amount prescribed in paragraph 1 shall be multiplied by the number of occurrences.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5648 - Inspection of fuel and shipping papers

28-5648.
Inspection of fuel and shipping papers
A. The department,  or its appointees,  including federal government employees or persons operating under contract with this state,  on presenting appropriate credentials may conduct inspections and remove samples of fuel to determine coloration of diesel fuel,  or to identify shipping paper violations at any place where taxable fuel is or may be produced,  stored or loaded into transport vehicles. Inspections shall be performed in a reasonable manner consistent with the circumstances,  but in no event is prior notice required. Inspectors may physically inspect,  examine or otherwise search any tank,  reservoir or other container that can or might be used for the production,  storage or transportation of fuel. Inspection may be made of any equipment used for,  or in connection with,  the production,  storage or transportation of fuel. Inspectors may demand that shipping papers,  documents and records required to be kept by a person transporting fuel be produced for immediate inspection. The places that may be inspected pursuant to this section include:
1. A terminal.
2. A fuel storage facility that is not a terminal.
3. A retail fuel facility.
4. Highway rest stops.
5. A designated inspection site. For the purposes of this paragraph,  " designated inspection site"  means any state highway or waterway inspection station,  weigh station,  agricultural inspection station,  mobile station or other location designated by the department that is either fixed or mobile.
B. Inspectors may reasonably detain any person or equipment transporting fuel in or through this state for the purpose of determining whether the person is operating in compliance with this article. Inspectors may detain a person or equipment only for such time as is necessary to determine whether the person is in compliance.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5649 - Dyed diesel; permissible highway use

28-5649.
Dyed diesel;  permissible highway use
A. A person may sell dyed diesel fuel for use in a federally exempt motor vehicle prescribed in subsection B on the highways in this state if the purchaser of the dyed diesel fuel provides a written statement to the seller of the fuel and to the department that dyed diesel fuel may only be used on highways in this state as provided in subsection B. The statement may include other information the department requires.
B. Dyed diesel fuel may only be used on highways in this state in the following federally exempt motor vehicles:
1. A school bus if it is engaged in the transportation of students and school employees and is exempt from the federal excise tax on diesel fuel.
2. A qualified local bus if it is available to the general public,  operates along a scheduled,  regular route,  has a seating capacity of at least twenty adults excluding the driver,  is under contract with or receives more than a nominal subsidy from any state or local government to furnish that transportation and is exempt from the federal excise tax on diesel fuel.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5703 - Cooperative agreements; definitions

28-5703.
Cooperative agreements;  definitions
A. To comply with the intermodal surface transportation efficiency act of 1991,  the director may enter into a cooperative agreement with other jurisdictions for the administration of motor fuel taxes imposed by article 1 of this chapter or section 28-8344. An agreement is not effective until signed by the director and filed with the department.
B. The agreement shall include:
1. The base jurisdiction concept. This concept allows a licensee to report and pay motor fuel use taxes to a base jurisdiction for distribution to other member jurisdictions in which the licensee traveled and incurred motor fuel use tax liability.
2. Retention of each jurisdiction's sovereign authority to determine tax rates and exemptions and exercise other substantive tax authority.
3. A uniform definition of the vehicles to which the agreement applies.
C. The agreement may provide for:
1. Determining the base jurisdiction for users.
2. Users records requirements.
3. Audit procedures.
4. Exchange of information.
5. Persons eligible for tax licensing.
6. Defining qualified motor vehicles.
7. Determining if bonding is required.
8. Specifying reporting requirements and periods,  including defining uniform penalty and interest rates for late reporting.
9. Determining methods for collecting and forwarding motor fuel taxes and penalties to another jurisdiction.
10. Other provisions to facilitate the administration of the agreement.
11. Each jurisdiction to audit the records of persons based in the jurisdiction to determine if the motor fuel taxes due each jurisdiction are properly reported and paid.
D. Each jurisdiction shall forward the findings of the audits performed on persons based in the jurisdiction to each jurisdiction in which the person has taxable use of motor fuels. As required by the agreement,  the director may forward to officers of another member jurisdiction any information in the director's possession relative to the manufacture,  receipt,  sale,  use,  transportation or shipment of motor fuels by any person. The director may disclose to officers of another member jurisdiction the location of offices,  motor vehicles and other real and personal property of users of motor fuels.
E. Member jurisdictions may enforce this chapter against persons who are not based in this state and who have taxable use of motor fuel in this state.
F. An agreement entered into under this section does not preclude the director or the director's appointed representatives from auditing the records of a person covered by this article and article 1 of this chapter.
G. The legal remedies for a person served with an order or assessment under this section are as prescribed in article 5 of this chapter.
H. For the purposes of this section:
1. " Jurisdiction"  means a state of the United States,  the District of Columbia or a province or territory of the Dominion of Canada.
2. " Motor fuels"  includes motor vehicle fuel,  aviation fuel and use fuel.
3. " Qualified motor vehicle"  means a use class motor vehicle.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5705 - Vehicle registration

28-5705.
Vehicle registration
Before registering a road tractor,  truck tractor,  truck having more than two axles or passenger carrying vehicle and before issuing a license pursuant to chapter 7 of this title,  the registering or licensing official shall determine from the applicant whether or not a motor vehicle sought to be registered or in connection with which the license is sought is propelled by a fuel the use of which is subject to the use fuel tax imposed by article 1 of this chapter.
2023 Arizona Revised Statutes › Title 28 - Transportation › § 28-5707 - Violation; classification

28-5707.
Violation;  classification
A. Unless another classification is prescribed in this article,  a person is guilty of a class 2 misdemeanor who:
1. Refuses to make a report required by this article.
2. Knowingly makes a false statement in a report or in connection with a claim for refund filed under this article.
3. Knowingly collects,  attempts to collect or causes to be repaid to the person or to another person a refund of any amount paid to the state under this article without being entitled to the refund.
4. Uses fuel on a highway in violation of this article.
5. Otherwise violates this article.
B. Each day or part of a day during which a person uses fuel on a highway in violation of this article is a separate offense.