HOUSE BILL No. 4672


     April 23, 1997, Introduced by Reps. Profit, Palamara, Wallace, Quarles, Brackenridge and Perricone and referred to the Committee on Tax Policy.


        A bill to amend 1945 PA 327, entitled

   "Aeronautics code of the state of Michigan,"

   by amending section 203 (MCL 259.203).

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         Sec. 203.  There is hereby imposed a privilege tax of 3

 2    cents per gallon on all fuel sold or used in producing or gener-

 3    ating power for propelling aircraft using the aeronautical facil-

 4    ities on the lands and waters of this state.  ; which  THE tax

 5    shall be paid to the  secretary of state  DEPARTMENT OF TREASURY

 6    in the same manner and method and at the same time as  is now

 7     prescribed by law for the collection of  THE gasoline tax  now 

 8    THAT IS imposed on all gasoline used in producing or generating

 9    power for propelling motor vehicles used upon the public highways

10    of this state.  A refund of 1-1/2 cents per gallon shall be made

11    to airline operators who show proof within 6 months after


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 1    purchase that they are operating interstate on scheduled

 2    operations AND TO AIR CARRIERS.  FOR PURPOSES OF THIS SECTION,

 3    "AIR CARRIERS" MEANS ENTITIES ENGAGED IN THE COMMERCIAL TRANSPORT

 4    FOR HIRE OF CARGO.
















































   03106'97          Final page.                            TJS