138.502 Prohibition on the sale, delivery, provision, or use of untaxed or dyed

276 words·~1 min read·/ky/138-502

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

diesel fuel -- Exceptions -- Civil penalty.

(1)A person shall not sell or deliver untaxed diesel fuel or dyed diesel fuel when the

person knows or has reason to know that the fuel will be used in a motor vehicle on

any public highway.

(2)A person shall not introduce untaxed diesel fuel or dyed diesel fuel into the supply

tank of any motor vehicle licensed for highway use.

(3)A person shall not use untaxed diesel fuel or dyed diesel fuel in any motor vehicle

actually used on a public highway.

(4)The prohibitions contained in this section shall not apply to:

(a)Persons operating motor vehicles that have received fuel into the fuel tank

outside this state in a jurisdiction that permits introduction of untaxed diesel

fuel or dyed diesel fuel into the fuel supply tank of highway vehicles; and

(b)Uses of untaxed fuel or dyed diesel fuel on the highway which are lawful

under the Internal Revenue Code and regulations, including state and local

government vehicles, and buses, unless otherwise prohibited by this chapter.

(5)The department may assess a civil penalty as follows:

(a)For first offenses, one thousand dollars ($1,000) or ten dollars ($10) per gallon

of untaxed fuel or dyed diesel fuel involved, whichever is greater, against any

person who violates this section. The capacity of the fuel tank shall be

assumed to be the amount of fuel involved, unless a lesser amount can be

adequately verified by the violator; and

(b)For subsequent offenses, the penalty shall be the amount determined in

paragraph

(a)of this subsection, multiplied by the number of separate

violations by the violator.