MI HB4616

Motor carriers must pay a road tax on motor fuel and alternative fuel consumed in qualified commercial motor vehicles on Michigan public roads, with the tax rate tied to the motor fuel tax act rates beginning January 1, 2017.

Tax is calculated by dividing miles traveled within Michigan by average miles per gallon (or gallon equivalent for alternative fuel), with a presumption of 1 gallon consumed per 4 miles if records are unavailable.

Motor carriers may claim a credit against the road tax for motor fuel or alternative fuel taxes already paid under the motor fuel tax act, with any excess amount refunded to the taxpayer.

An 18-month deadline is established for filing refund claims for motor fuel or alternative fuel purchased on or after January 1, 2017.

False statements on returns, altered invoices, or fraudulent refund claims are misdemeanors punishable by fines up to $5,000 and/or imprisonment up to 1 year.