Senate Bill 2986

(As Passed the Senate)

AN ACT TO AMEND SECTION 17-17-423, MISSISSIPPI CODE OF 1972, TO IMPOSE THE WASTE TIRE FEE ON EACH NEW TIRE SOLD AT WHOLESALE; TO PROVIDE THAT THE PERSON SELLING TIRES AT WHOLESALE SHALL BE RESPONSIBLE FOR COLLECTING SUCH FEES AND PAYING THEM TO THE STATE TAX COMMISSION; TO AMEND SECTION 17-17-415, MISSISSIPPI CODE OF 1972, IN CONFORMITY THERETO; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 17-17-423, Mississippi Code of 1972, is amended as follows:

17-17-423. (1) There is imposed a waste tire fee upon the sale of each new tire sold at wholesale. The fee shall be imposed on any person engaging in the business of making wholesale sales of new tires within this state. * * * The fee shall be imposed at the rate of One Dollar ($1.00) for each new tire sold with a rim diameter of less than twenty-four (24) inches and Two Dollars ($2.00) for each new tire sold with a rim diameter of twenty-four (24) inches or greater. The fee shall be added to the total cost to the purchaser at wholesale; however, a person engaged in the business of making retail sales of tires in this state who purchases tires from a wholesaler or manufacturer outside this state upon which the waste tire fee is not imposed, shall be responsible for remitting the waste tire fee directly to the State Tax Commission in lieu of payment of the tax to the wholesaler or manufacturer. The fee imposed, less five percent (5%) of fees collected, which shall be retained by the tire wholesaler or retailer as collection costs, shall be paid to the State Tax Commission in the form and manner required by the State Tax Commission and shall include a statement showing the total number of new tires sold during the preceding month. The State Tax Commission shall promulgate rules and regulations necessary to administer the fee collection and enforcement.

(2) The State Tax Commission shall administer, collect and enforce the fee authorized under this section under the same procedures used in the administration, collection and enforcement of the state sales tax imposed under Chapter 65, Title 27, Mississippi Code of 1972, except as provided in this section. The proceeds of the waste tire fee, less five percent (5%) of the proceeds, which shall be retained by the State Tax Commission as collection costs, shall be transferred by the State Tax Commission into the waste tire account of the Environmental Protection Trust Fund.

SECTION 2. Section 17-17-415, Mississippi Code of 1972, is amended as follows:

17-17-415. (1) Any person selling new or reusable tires at retail shall accept from a customer at the point of transfer, used or waste tires in a quantity at least equal to the number of new or reusable tires purchased, if offered by the customer. In addition, any person selling new or reusable tires at retail and accepting in return used or waste tires from the customer for ultimate disposal/recycling shall be prohibited from imposing * * * disposal fees on the consumer * * *. Any disposal costs incurred by the retailer shall be included in the price of the new or reusable tire.

(2) Any tire retailer, tire wholesaler, motor vehicle dismantler and salvage dealer may hold not more than five hundred (500) waste tires for a period not to exceed ninety (90) days without being authorized as a waste tire collection site, if such tires are stored in a manner which protects human health and the environment pursuant to regulations adopted by the commission.

SECTION 3. This act shall take effect and be in force from and after July 1, 2004.