Motor vehicle fuel: gasohol.

Existing law, the Motor Vehicle Fuel Tax Law, imposes a tax upon the privilege of distributing motor fuel and defines the term "gasohol" for purposes of that law. Gasohol is defined as all blends of gasoline and alcohol containing more than 15% gasoline. This bill would redefine gasohol to instead mean all blends of gasoline and alcohol containing more than 21% or a percentage determined by regulations adopted by the State Board of Equalization, as specified. Existing law, the Use Fuel Tax Law, imposes an excise tax for the use of fuel, as defined, and requires that the excise tax imposed upon ethanol or methanol containing not more than 15% gasoline or diesel fuels be 12 of that rate. That law provides for refunds for certain overpayments of tax within a specified time period. This bill would instead apply that discounted rate to ethanol or methanol containing not more than 21% gasoline, blended ethanol fuel, as defined, or diesel fuels. This bill would take effect immediately as a tax levy.