How much did Kansas motor fuel tax rates rise on July 1, 2001, and what inventory tax applied?

Plain-English summary

1999 House Bill 2071 raised all Kansas motor fuel tax rates by $.01 per gallon, effective July 1, 2001 (the increase was set in 1999 but phased to take effect in 2001). The new per-gallon rates:

• Gasoline: $.21
• Gasohol: $.21
• Special fuel (diesel): $.23
• L.P. gases: $.20

The legislation also imposed a one-time inventory tax equal to the additional $.01 per gallon on all tax-paid fuel in storage at 12:01 a.m. on July 1, 2001. The inventory tax return and payment had to be postmarked on or before July 26, 2001.

What this means for you

If you sold or stored motor fuel in Kansas in 2001, your per-gallon tax rose 1 cent on July 1, 2001, and you owed a one-time inventory tax on the tax-paid fuel you were holding at that moment, due by July 26, 2001.

Common questions

Q: How much did Kansas fuel tax rise in 2001?
A: All rates went up $.01 per gallon on July 1, 2001 (gasoline/gasohol $.21, diesel $.23, LP gas $.20).

Q: What was the inventory tax?
A: A one-time $.01-per-gallon tax on tax-paid fuel in storage at 12:01 a.m. July 1, 2001, reported and paid by July 26, 2001.

Citations and references

• 1999 House Bill 2071 -- motor fuel tax rate increase effective July 1, 2001.

Subject

Fuel Tax Increase (Effective July 1, 2001)

Source

• Landing page: Kansas Department of Revenue Policy Information Library
• Original document: Notice 01-01

Original ruling text

Notice
Notice Number: 01-01
Tax Type: Motor Vehicle Fuel Tax
Brief Description: Tax rates increase effective July 1, 2001.
Keywords:
Approval Date: 05/30/2001

Body:
Office of the Secretary

                                                   NOTICE 01-01

                                                  Fuel Tax Increase

The 1999 Kansas legislature enacted House Bill 2071, which increases all motor fuel tax rates by $.01 per gallon
effective July 1, 2001. Beginning July 1, 2001, the fuel tax rates for Kansas are as follows:

Gasoline $.21
Gasohol $.21
Special Fuel (Diesel) $.23
L.P. Gases $.20

The 1999 legislation also imposed an inventory tax on all tax-paid fuels in storage at the time of the fuel tax rate
increase. Enclosed with this notice is an inventory tax return for use in reporting the additional $.01 per gallon due on
all tax-paid fuel in storage as of 12:01 a.m. on July 1, 2001. The completed inventory tax return, along with payment,
must be mailed so that it is postmarked on or before July 26, 2001.

TAXPAYER ASSISTANCE

To obtain additional copies of this or any other notice call the Kansas Department of Revenue’s voice mail forms
request line at 785-296-4937 or download them from our web site: www.ink.org/public/kdor. If you have any
questions about this notice, please contact our Motor Fuel Tax area.
Motor Fuel Tax Correspondence
Docking State Office Building
915 SW Harrison St.
Topeka, KS 66625-8100
In Topeka call: 368-8222
Outside Topeka call toll free: 1-877-526-7738
Fax: (785) 291-3614

Notice 01-01
May 30, 2001

Date Composed: 05/31/2001 Date Modified: 10/10/2001

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