DEPARTMENT
OF STATE REVENUE
Departmental
Notice #2
December
2012
Prepayment
of Sales Tax on Gasoline
This document is not a
"statement" required to be published in the Indiana Register underIC 4-22-7-7. However, under IC 6-2.5-7-14, the Department is required to
publish the prepayment rate in the June and December issues of the Indiana
Register. The purpose of this notice is to inform each refiner, terminal
operator, and qualified distributor known to the Department to be required to
collect prepayments of sales tax on gasoline of the prepayment rate effective
for the next six-month period. A prepayment rate is calculated twice per year
by the Department and is effective for the period January 1 through June 30, or
July 1 through December 31, as appropriate.
The prepayment rate is
defined by IC 6-2.5-7-1 and IC 6-2.5-7-14 as the product of:
Step 1
1) The statewide average
retail price per gallon of gasoline (excluding the Indiana gasoline tax, the
federal gasoline tax, and the Indiana gross retail tax); multiplied by
2) the state gross retail
tax rate (7%); multiplied by
3) eighty percent (80%);
and then
4) rounded to the nearest
one-tenth of one cent ($0.001)
Step 2
1) determine the lesser of
the results in step one or
2) the product of:
(i) the prepayment rate in
effect on the day immediately preceding the day on which the prepayment rate is
redetermined; multiplied by
(ii) one hundred
twenty-five percent (125%); and then
3) round the result to the
nearest one-tenth of one cent ($0.001)
Using the most recent
retail price of gasoline available (as required by IC 6-2.5-7-14(b)), the Department has
determined the statewide average retail price per gallon of gasoline to be
three dollars and twenty-five and nine tenths ($3.259) for the month of August.
The data is derived from www.IndianaGasPrices.com.
Based on the provisions of
Step 1 and Step 2; the calculations are as follows:
|
Step 1
|
|
|
|
Statewide average retail
price per gallon:
|
3.259
|
|
|
Multiplied by the state
retail tax of:
|
x.07
|
|
|
|
0.22813
|
|
|
Multiplied by eighty
percent (80%)
|
x
0.8
|
|
|
|
0.182504
|
|
|
|
|
|
|
Rounded to the nearest
one-tenth of one cent:
|
0.183
|
|
|
|
|
|
|
Step 2
|
|
|
|
Previous 6-month
prepayment rate:
|
0.163
|
|
|
Multiplied by 125%
|
x
1.25
|
|
|
|
0.20375
|
|
|
|
|
|
|
Rounded to the nearest
one tenth of one cent:
|
0.204
|
|
Based upon the above
calculations, Step 1 will be used in determining the prepayment rate. The
prepayment rate of sales tax on gasoline for the 6-month period beginning
January 1, 2013, is eighteen and three-tenths ($0.183) per gallon.
Indiana Department of State
Revenue
Michael J. Alley
Commissioner
The prepayment rates for
periods beginning July 1, 1994, are established below:
|
Period
|
|
|
Rate Per Gallon
|
|
July 1, 1994
|
to
|
December 31, 1994
|
2.9 cents
|
|
January 1, 1995
|
to
|
June 30, 1995
|
3.7 cents
|
|
July 1, 1995
|
to
|
December 31, 1995
|
3.3 cents
|
|
January 1, 1996
|
to
|
June 30, 1996
|
3.3 cents
|
|
July 1, 1996
|
to
|
December 31, 1996
|
3.4 cents
|
|
January 1, 1997
|
to
|
June 30, 1997
|
4.0 cents
|
|
July 1, 1997
|
to
|
December 31, 1997
|
3.9 cents
|
|
January 1, 1998
|
to
|
June 30, 1998
|
4.0 cents
|
|
July 1, 1998
|
to
|
December 31, 1998
|
2.9 cents
|
|
January 1, 1999
|
to
|
June 30, 1999
|
3.0 cents
|
|
July 1, 1999
|
to
|
December 31, 1999
|
2.4 cents
|
|
January 1, 2000
|
to
|
June 30, 2000
|
3.6 cents
|
|
July 1, 2000
|
to
|
December 31, 2000
|
4.6 cents
|
|
January 1, 2001
|
to
|
June 30, 2001
|
4.9 cents
|
|
July 1, 2001
|
to
|
December 31, 2001
|
4.9 cents
|
|
January 1, 2002
|
to
|
June 30, 2002
|
4.9 cents
|
|
July 1, 2002
|
to
|
December 31, 2002
|
3.2 cents
|
|
January 1, 2003
|
to
|
June 30, 2003
|
5.3 cents
|
|
July 1, 2003
|
to
|
December 31, 2003
|
6.6 cents
|
|
January 1, 2004
|
to
|
June 30, 2004
|
6.5 cents
|
|
July 1, 2004
|
to
|
December 31, 2004
|
6.6 cents
|
|
January 1, 2005
|
to
|
June 30, 2005
|
7.6 cents
|
|
July 1, 2005
|
to
|
December 31, 2005
|
7.8 cents
|
|
January 1, 2006
|
to
|
June 30, 2006
|
11.2 cents
|
|
July 1, 2006
|
to
|
December 31, 2006
|
9.5 cents
|
|
January 1, 2007
|
to
|
June 30, 2007
|
11.9 cents
|
|
July 1, 2007
|
to
|
December 31, 2007
|
9.9 cents
|
|
January 1, 2008
|
to
|
June 30, 2008
|
12.4 cents
|
|
July 1, 2008
|
to
|
December 31, 2008
|
15.5 cents
|
|
January 1, 2009
|
to
|
January 31, 2009
|
19.4 cents
|
|
February 1, 2009
|
to
|
June 30, 2009
|
9.9 cents
|
|
July 1, 2009
|
to
|
December 31, 2009
|
8.9 cents
|
|
January 1, 2010
|
to
|
June 30, 2010
|
11.1 cents
|
|
July 1, 2010
|
to
|
December 31, 2010
|
11.8 cents
|
|
January 1, 2011
|
to
|
June 30, 2011
|
12.3 cents
|
|
July 1, 201 [sic]
|
to
|
December 31, 2011
|
15.1 cents
|
|
January 1, 2012
|
to
|
June 30, 2012
|
17.2 cents
|
|
July 1, 2012
|
to
|
December 31, 2012
|
16.3 cents
|
|
January 1, 2013
|
to
|
June 30, 2013
|
18.3 cents
|
