NOTE: The governor signed this measure on 3/26/2015.
      
      
      HOUSE BILL 15-1012
      
      
      BY REPRESENTATIVE(S) Becker J., Brown, Coram, Fields,
      Mitsch Bush, Van Winkle;
      also SENATOR(S) Sonnenberg, Baumgardner, Crowder, Grantham,
      Lundberg, Neville T., Scott, Woods.
      
      
      Concerning a sales and use tax exemption for dyed diesel.
      
      
      Be it enacted by the General Assembly of the State of Colorado:
      
           SECTION 1.  Legislative declaration. (1)  The general assembly
      finds and declares that:
      
           (a)  Under current law, most sales and uses of dyed diesel fuel are
      exempt from the state sales and use tax;
      
           (b)  In a limited number of circumstances, dyed diesel is used in a
      manner for which it is not exempt from the state sales and use tax; for
      example, if it is used to power a hospital generator or a semitrailer's cabin
      auxiliary power unit;
      
           (c)  These nonexempt uses generate an insignificant amount of
      revenue; and
      
           (d)  The different tax treatment of dyed diesel based on its use
      creates an administrative burden for retailers.
      
           (2)  Now, therefore, the general assembly declares that the intended
      purpose of the tax exemption created in this act is to streamline the
      collection of sales and use taxes by treating all dyed diesel the same.
      
           SECTION 2.  In Colorado Revised Statutes, 39-26-715, amend (1)
      (a) introductory portion and (2) introductory portion; and add (1) (a) (III),
      (2) (d), and (4) as follows:
      
           39-26-715.  Fuel and oil - definitions. (1) (a)  The following shall
      be are exempt from taxation under the provisions of part 1 of this article:
      
           (III)  All sales of dyed diesel.
      
           (2)  The following shall be are exempt from taxation under the
      provisions of part 2 of this article:
      
           (d)  The storage, use, or consumption of dyed diesel.
      
           (4)  As used in this section, "dyed diesel" has the same
      meaning as set forth in section 39-27-101 (8).
      
           SECTION 3.  Safety clause. The general assembly hereby finds,
      determines, and declares that this act is necessary for the immediate
      preservation of the public peace, health, and safety.
      
      
      
      
      ________________________________________________________
      Dickey Lee Hullinghorst                Bill L. Cadman
      SPEAKER OF THE HOUSE                     PRESIDENT OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
      
      
      ____________________________  ____________________________
      Marilyn Eddins                      Cindi L. Markwell
      CHIEF CLERK OF THE HOUSE                 SECRETARY OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
                  APPROVED________________________________________
      
      
      
      
      
                                    _________________________________________
                                    John W. Hickenlooper
                                    GOVERNOR OF THE STATE OF COLORADO