HB 1001-11_ Filed 04/03/2003, 10:30 Broden

SENATE MOTION


MR. PRESIDENT:

    I move
that Engrossed House Bill 1001 be amended to read as follows:

SOURCE: Page 54, line 15; (03)MO100131.54. -->     Page 54, line 15, after "is" insert " first".
    Page 54, line 15, after "the" insert " Medicaid augmentation account, and, if there is insufficient money in the Medicaid augmentation account, then from the".
    Page 94, between lines 23 and 24, begin a new paragraph and insert:
SOURCE: IC 4-12-1-15.6; (03)MO100131.38. -->     "SECTION 38. IC 4-12-1-15.6 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2003]: Sec. 15.6. (a) The Medicaid augmentation account is established within the state general fund for the purpose of providing money for Medicaid when the appropriation for Medicaid in the biennial budget is insufficient to pay Medicaid claims.
    (b) The account shall be administered by the budget agency. Expenses of administering the account shall be paid from money in the account.

     (c) The account consists of money deposited in the account under IC 6-8-12.
    (d) During each state fiscal year, the budget agency shall determine the amount of money in addition to the appropriation for Medicaid needed to pay Medicaid claims during that state fiscal year.
    (e) The budget agency shall transfer the amount of money, up to the entire balance, needed under subsection (d), from the Medicaid augmentation account to the account from which Medicaid current obligations are paid.
    (f) Money in the Medicaid augmentation account is annually appropriated for the purposes of this section.
    (g) The treasurer of state shall invest the money in the account not currently needed to meet the obligations of the account in the

same manner as other public money may be invested.".

SOURCE: Page 106, line 14; (03)MO100131.106. -->     Page 106, between lines 14 and 15, begin a new paragraph and insert:
SOURCE: IC 6-8-12; (03)MO100131.47. -->     "SECTION 47. IC 6-8-12 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2003]:
     Chapter 12. Non-Nutritive Beverage Tax
    Sec. 1. As used in this chapter, "department" refers to the department of state revenue.
    Sec. 2. As used in this chapter, "non-nutritive beverage" means a nonalcoholic, naturally or artificially sweetened beverage sold for human consumption. The term includes the following:
        (1) Ginger ale.
        (2) Seltzer, soda, or tonic water.
        (3) All drinks commonly referred to as cola, lemon, lime, or lemon-lime.
        (4) Fruit drinks containing less than ten percent (10%) natural fruit juice.
        (5) Vegetable drinks containing less than ten percent (10%) natural vegetable juice.
        (6) Other drinks commonly referred to as soft drinks, soda, or soda pop, including diet soft drinks, diet soda, or diet soda pop.
    Sec. 3. As used in this chapter, "person" includes an association, a corporation, a fiduciary, an individual, a limited liability company, a partnership, or a sole proprietorship.
    Sec. 4. As used in this chapter, "powder" means a solid mixture of basic ingredients used in making, mixing, or compounding non-nutritive beverages.
    Sec. 5. As used in this chapter, "retailer" means a person that sells:
        (1) powder;
        (2) non-nutritive beverages; or
        (3) syrup;
to an ultimate consumer.
    Sec. 6. As used in this chapter, "simple syrup" means a mixture of sugar and water.
    Sec. 7. As used in this chapter, "syrup" means the liquid mixture of basic ingredients used in making, mixing, or compounding non-nutritive beverages.
    Sec. 8. As used in this chapter, "vendor" means a distributor, manufacturer, or wholesaler who manufactures, bottles, sells, barters, exchanges, or distributes non-nutritive beverages, simple syrup, syrup, or powder for the purpose of sale or resale to a retailer, another vendor, or an ultimate consumer.
    Sec. 9. An excise tax known as the non-nutritive beverage tax is imposed as follows:
        (1) Two dollars ($2) per gallon of syrup or simple syrup sold

to a retailer.
        (2) Ten and one-half cents ($0.105) per gallon of bottled non-nutritive beverage sold to a retailer or an ultimate consumer.
        (3) Ten and one-half cents ($0.105) per gallon of powder based non-nutritive beverage sold to a retailer or an ultimate consumer.
The non-nutritive beverage tax is a listed tax for purposes of IC 6-8.1.
    Sec. 10. A vendor shall pay the non-nutritive beverage tax upon the occurrence of one (1) of the following events:
        (1) The vendor manufactures non-nutritive beverages, syrup, or powder for sale or distribution.
        (2) The vendor brings or causes to be brought into the state non-nutritive beverages, syrup, or powder for:
            (A) manufacture; or
            (B) sale or distribution to retailers or ultimate consumers.
        (3) The vendor transports non-nutritive beverages, syrup, or powder to retailers.
    Sec. 11. The non-nutritive beverage tax does not apply to the following:
        (1) A solid mixture of ingredients used to prepare coffee or tea.
        (2) Water that does not contain calories or natural or artificial sweetener.
        (3) Milk or milk products.
        (4) A product intended for weight loss.
        (5) A product intended for consumption by infants.
        (6) A powder intended for the purpose of mixing non-nutritive beverages by the ultimate consumer.
        (7) Non-nutritive beverages, syrup, or powder sold to the federal government.
        (8) Non-nutritive beverages, syrup, or powder exported from the state by a distributor, manufacturer, or wholesaler.
    Sec. 12. Not later than the fifteenth day of each month, a vendor shall do the following:
        (1) File a return with the department on a form prescribed by the department. The form shall require the vendor to provide the following information as applicable:
            (A) Name, address, and telephone number of:
                (i) the vendor;
                (ii) the person to whom non-nutritive beverages, syrup, or powder were sold; and
                (iii) the person from whom non-nutritive beverages, syrup, or powder were purchased.
            (B) Numbers and dates of invoices for sales and purchases of non-nutritive beverages, syrup, and powder.
            (C) Prices of non-nutritive beverages, syrup, or powder

that were purchased or sold.
        (2) Remit to the department an amount equal to:
            (A) the amount of tax imposed under this chapter for which the vendor is liable for the immediately preceding month; minus
            (B) the amount determined under section 13 of this chapter.
    Sec. 13. A vendor who timely complies with section 12 of this chapter may deduct and retain from the tax imposed under section 9 of this chapter a collection allowance equal to one percent (1%) of the amount to be remitted under section 12(2)(A) of this chapter. The department may reduce the collection allowance of a vendor who fails to timely comply with section 12 of this chapter by an amount that does not exceed the lesser of:
        (1) ten percent (10%) of the collection allowance; or
        (2) fifty dollars ($50).
    Sec. 14. The department shall refund to a vendor the amount of taxes remitted under section 12 of this chapter for non-nutritive beverages, syrup, or powder that are:
        (1) returned to the vendor; or
        (2) destroyed by the vendor in the presence of an employee or agent of the department.
    Sec. 15. The taxes collected under this chapter shall be deposited in the Medicaid augmentation account established by IC 4-12-1-15.6.
    Sec. 16. A vendor who knowingly:
        (1) makes a false statement in a return under section 12 of this chapter;
        (2) fails to pay the tax for which the vendor is liable under this chapter; or
        (3) otherwise fails to comply with this chapter;
commits a Class B misdemeanor. However, the offense is a Class D felony if it is committed with intent to evade the tax imposed under this chapter or to defraud the state.
    Sec. 17. A vendor who fails to comply with IC 6-8.1-5-4 commits a Class B misdemeanor.

SOURCE: IC 6-8.1-1-1; (03)MO100131.48. -->     SECTION 48. IC 6-8.1-1-1 , AS AMENDED BY P.L.192-2002(ss), SECTION 140, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2003]: Sec. 1. "Listed taxes" or "taxes" includes only the pari-mutuel taxes (IC 4-31-9-3 through IC 4-31-9-5 ); the riverboat admissions tax (IC 4-33-12); the riverboat wagering tax (IC 4-33-13); the gross income tax (IC 6-2.1) (repealed); the utility receipts tax (IC 6-2.3); the state gross retail and use taxes (IC 6-2.5); the adjusted gross income tax (IC 6-3); the supplemental net income tax (IC 6-3-8) (repealed); the county adjusted gross income tax (IC 6-3.5-1.1); the county option income tax (IC 6-3.5-6); the county economic development income tax (IC 6-3.5-7); the municipal option income tax (IC 6-3.5-8); the auto rental excise tax (IC 6-6-9); the

financial institutions tax (IC 6-5.5); the gasoline tax (IC 6-6-1.1); the alternative fuel permit fee (IC 6-6-2.1); the special fuel tax (IC 6-6-2.5); the motor carrier fuel tax (IC 6-6-4.1); a motor fuel tax collected under a reciprocal agreement under IC 6-8.1-3 ; the motor vehicle excise tax (IC 6-6-5); the commercial vehicle excise tax (IC 6-6-5.5); the hazardous waste disposal tax (IC 6-6-6.6); the cigarette tax (IC 6-7-1); the non-nutritive beverage tax (IC 6-8-12); the beer excise tax (IC 7.1-4-2); the liquor excise tax (IC 7.1-4-3); the wine excise tax (IC 7.1-4-4); the hard cider excise tax (IC 7.1-4-4.5); the malt excise tax (IC 7.1-4-5); the petroleum severance tax (IC 6-8-1); the various innkeeper's taxes (IC 6-9); the various county food and beverage taxes (IC 6-9); the county admissions tax (IC 6-9-13 and IC 6-9-28 ); the oil inspection fee (IC 16-44-2); the emergency and hazardous chemical inventory form fee (IC 6-6-10); the penalties assessed for oversize vehicles (IC 9-20-3 and IC 9-30); the fees and penalties assessed for overweight vehicles (IC 9-20-4 and IC 9-30); the underground storage tank fee (IC 13-23); the solid waste management fee (IC 13-20-22); and any other tax or fee that the department is required to collect or administer.".
    Renumber all SECTIONS consecutively.
    (Reference is to EHB 1001 as printed April 1, 2003.)

________________________________________

Senator BRODEN


MO100131/DI 103     2003