(a) Dyed distillate special fuel shall not be mixed with undyed distillate special fuel in the fuel supply tank of any motor vehicle, other than in the fuel supply tank of a motor vehicle excepted in § 26-56-225, or in any fuel storage tank or fuel storage facility, other than fuel storage tanks or fuel storage facilities utilized exclusively for the purpose of fueling motor vehicles excepted in § 26-56-225.
(b) (1) The Director of the Department of Finance and Administration upon finding any fuel supply tank of a motor vehicle, fuel storage tank, or fuel storage facility outside of the terminal containing mixed dyed and undyed distillate special fuel, which fuel is being used or utilized in a motor vehicle or is being stored for ultimate usage or utilization in a motor vehicle not excepted in § 26-56-225 shall:
(A) Assess for taxation purposes the entire number of gallons of the fuel that could be contained in those fuel supply tanks, fuel storage tanks, or fuel storage facilities, if the tanks or facilities were filled to capacity, as taxable gallons at the total per-gallon tax rates set out in this chapter; and
(B) Assess a penalty of ten dollars ($10.00) per gallon on all the fuel.
(2)
(A) The presence of any amount of dyed distillate special fuel in the fuel supply tank of any motor vehicle not excepted in § 26-56-225 or in a fuel storage tank or fuel storage facility outside of the terminal utilized by the operator of the motor vehicle, or any other person, for the purpose of fueling that motor vehicle, shall create a rebuttable presumption that the entire amount of fuel that could be contained in the fuel supply tank of the motor vehicle, or of a fuel storage tank or fuel storage facility, if mixed, has been, or is being, used or utilized for taxable purposes.
(B) Thus the entire amount of the fuel that could be contained in the tanks and facilities, if filled to capacity, shall be susceptible to full distillate special fuel taxation.
(3) The assessments shall be made against the operator of any motor vehicle, or owner or operator of the fuel storage tank or fuel storage facility outside of the terminal, or any other person the director deems responsible for the usage or utilization of the distillate special fuel in any motor vehicle involved in the assessment.
(c) All penalties authorized by this section shall be in addition to all other penalties provided in this chapter and in the Arkansas Tax Procedure Act, § 26-18-101 et seq.
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