(a) In general There is hereby imposed a tax on any liquid used during any calendar quarter by any person as a fuel in a vessel in commercial waterway transportation.
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(b) Amount of tax
Amended 1986
- 1986 Pub. L. 99-499 Pub. L. 99–499 and Pub. L. 99–662 both amended subsec. (b) generally, effective Jan. 1, 1987. Pub. L. 100–647, § 2002(a)(1) (see Construction of 1986 Amendments note below), provided that for purposes of this section, the amendment made by Pub. L. 99–499 be treated as enacted after the amendment made by Pub. L. 99–662. Prior to amendment by Pub. L. 99–499 and Pub. L. 99–662, subsec. (b) read as follows:
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(1) In general The rate of the tax imposed by subsection (a) is the sum of—
Amended 1993, 2018
- 2018 Pub. L. 115-141 Pub. L. 115–141, § 401(b)(40), struck out subpar. (C) which read as follows: “the deficit reduction rate.”
- 1993 Pub. L. 103-66 Pub. L. 103–66, § 13241(d)(1), added subpar. (C).
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(A) the Inland Waterways Trust Fund financing rate, and
(B) the Leaking Underground Storage Tank Trust Fund financing rate.
(2) Rates For purposes of paragraph (1)—
Amended 1988, 1993, 2004, 2018
- 2018 Pub. L. 115-141 Pub. L. 115–141, § 401(b)(41), struck out subpar. (C) which read as follows: “The deficit reduction rate is—
“(i) 3.3 cents per gallon after December 31, 2004, and before July 1, 2005,
“(ii) 2.3 cents per gallon after June 30, 2005, and before January 1, 2007, and
“(iii) 0 after December 31, 2006.”
- 2004 Pub. L. 108-357 Pub. L. 108–357 amended subpar. (C) generally. Prior to amendment, subpar. (C) read as follows: “The deficit reduction rate is 4.3 cents per gallon.”
- 1993 Pub. L. 103-66 Pub. L. 103–66, § 13241(d)(2), added subpar. (C).
- 1988 Pub. L. 100-647 Pub. L. 100–647 amended par. (2) generally. Prior to amendment, par. (2) read as follows: “For purposes of paragraph (1)—
“(A) the Inland Waterways Trust Fund financing rate is 10 cents a gallon, and
“(B) the Leaking Underground Storage Tank Trust Fund financing rate is 0.1 cents a gallon.”
(A) The Inland Waterways Trust Fund financing rate is 29 cents per gallon.
Amended 2014
- 2014 Pub. L. 113-295 Pub. L. 113–295 amended subpar. (A) generally, substituting “The Inland Waterways Trust Fund financing rate is 29 cents per gallon.” for “The Inland Waterways Trust Fund financing rate is the rate determined in accordance with the following table:” and accompanying table of rates.
(B) The Leaking Underground Storage Tank Trust Fund financing rate is 0.1 cent per gallon.
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(3) Exception for fuel on which Leaking Underground Storage Tank Trust Fund financing rate separately imposed The Leaking Underground Storage Tank Trust Fund financing rate under paragraph (2)(B) shall not apply to the use of any fuel if tax was imposed with respect to such fuel under section 4041(d) or 4081 at the Leaking Underground Storage Tank Trust Fund financing rate.
Amended 2007
- 2007 Pub. L. 110-172 Pub. L. 110–172 amended heading and text of par. (3) generally. Prior to amendment, text read as follows: “The Leaking Underground Storage Tank Trust Fund financing rate under paragraph (2)(B) shall not apply to the use of any fuel if tax under section 4041(d) was imposed on the sale of such fuel or is imposed on such use.”
(4) Termination of Leaking Underground Storage Tank Trust Fund financing rate The Leaking Underground Storage Tank Trust Fund financing rate under paragraph (2)(B) shall not apply during any period during which the Leaking Underground Storage Tank Trust Fund financing rate under section 4081 does not apply.
(c) Exemptions
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(1) Deep-draft ocean-going vessels The tax imposed by subsection (a) shall not apply with respect to any vessel designed primarily for use on the high seas which has a draft of more than 12 feet.
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(2) Passenger vessels The tax imposed by subsection (a) shall not apply with respect to any vessel used primarily for the transportation of persons.
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(3) Use by State or local government in transporting property in a state or local business Subparagraph (B) of subsection (d)(1) shall not apply with respect to use by a State or political subdivision thereof.
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(4) Use in moving lash and seabee ocean-going barges The tax imposed by subsection (a) shall not apply with respect to use for movement by tug of exclusively LASH (Lighter-aboard-ship) and SEABEE ocean-going barges released by their ocean-going carriers solely to pick up or deliver international cargoes.
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(d) Definitions For purposes of this section—
(1) Commercial waterway transportation The term “commercial waterway transportation” means any use of a vessel on any inland or intracoastal waterway of the United States—
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(2) Inland or intracoastal waterway of the United States The term “inland or intracoastal waterway of the United States” means any inland or intracoastal waterway of the United States which is described in section 206 of the Inland Waterways Revenue Act of 1978.
(3) Person The term “person” includes the United States, a State, a political subdivision of a State, or any agency or instrumentality of any of the foregoing.
(e) Date for filing return The date for filing the return of the tax imposed by this section for any calendar quarter shall be the last day of the first month following such quarter.