LANSING – House Majority Floor Leader Kathy Angerer (D-Dundee) and State Representative John Proos (R-St. Joseph) today introduced bipartisan legislation today to draw interstate truck drivers into Michigan.
House Bills 4953 and 4954 provide interstate trucks the option to pay for diesel sales tax either at the pump or on their quarterly federal International Fuel Tax Agreement (IFTA) reports, which is acceptable in neighboring states. Michigan originally had this option until 2002, but the new tax structure required the change to the current law of paying for the taxes directly at the pump.
Since diesel taxes usually appear less expensive in neighboring states, many fuel stops and small businesses along the southern border of Michigan are struggling as a result of trucks keeping their business outside the state line.
"Interstate truckers are intentionally avoiding purchasing fuel in our state," said Angerer. "Changing this law not only brings additional commerce from trucking companies to our truck stops, but also brings additional money to nearby small businesses and restaurants."
"Many truck drivers stop just before entering the state to save upfront money on diesel taxes," said Proos. "The current law creates an unfair disadvantage to Michigan businesses. By allowing truck drivers to pay their diesel tax on a quarterly basis, we are saving them money and bringing business to our state."