                                 CODE OF VIRGINIA

LIABILITY FOR TAX ON REMOVALS FROM A TERMINAL (§ 58.1-2219)

A. The tax imposed pursuant to &#xA7; 58.1-2217 at the point that motor fuel is
removed by a system transfer from a terminal in Virginia shall be paid by the
position holder of the fuel; however, if the position holder is not the terminal
operator, the terminal operator and position holder shall be jointly and
severally liable for the tax.

B. The tax imposed pursuant to &#xA7; 58.1-2217 at the point that motor fuel is
removed at a terminal rack in Virginia shall be payable by the person that first
receives the fuel upon its removal from the terminal. If the motor fuel is first
received by an unlicensed distributor, the supplier of the fuel shall be liable
for payment of the tax due on the fuel. If the motor fuel is sold by a person
who is not licensed as a supplier, then (i) the terminal operator and (ii) the
person selling the fuel shall be jointly and severally liable for payment of the
tax due on the fuel. If the motor fuel removed is not dyed diesel fuel but the
shipping document issued for the fuel states that the fuel is dyed diesel fuel,
the terminal operator, the supplier, and the person removing the fuel shall be
jointly and severally liable for payment of the tax due on the fuel.

HISTORY: 2000, cc. 729, 758.