HB5723 Summary

• Caps the motor fuel prepayment tax rate at $0.18 per gallon for motor fuel, effective 30 days after the bill becomes law.

• Sets the maximum prepayment rate for gasohol and biodiesel blends at 80% of the motor fuel rate (approximately $0.144 per gallon for gasohol).

• Applies the same cents-per-gallon rate caps to the Use Tax Act, Service Use Tax Act, and Service Occupation Tax Act for motor fuel, gasohol, majority blended ethanol fuel, and biodiesel blends.

• Requires the Department of Revenue to provide notice of rate changes at least 20 days before implementation.

• Takes effect immediately upon becoming law.