AR HB2228

Establishes a phased reduction in excise tax rates on natural gas and electricity used directly in manufacturing processes, starting at 4.375% (July 1, 2007) and decreasing to 2.625% by July 1, 2012.

Director of Finance and Administration monitors tax savings and stops processing refund claims once accumulated savings reach $27,000,000 in any fiscal year, with priority given to unpaid refunds from prior fiscal years.

Extends the statute of limitations for refunds and amended returns by one year to allow payment under the prescribed refund process.

Distributes collected taxes as follows: 76.6% to general revenues, 8.5% to Property Tax Relief Trust Fund, and 14.9% to Educational Adequacy Fund.

Updates the definition of "manufacturer" to reference the North American Industry Classification System as in effect on January 1, 2011 (instead of January 1, 2007) and declares the act effective July 1, 2011 as an emergency measure.