Local Motor Fuel Tax Receipts Status

The 4 cent Local Motor Fuel Tax increase took effect May 1, with tax remittances due to the Finance Department on June 20. The Finance Department believes that 16 entities, in addition to the City of Champaign, are required to remit local motor fuel taxes on a monthly basis. As of June 27, eleven of the entities had remitted payments totaling $89,495. This represents 69% of the businesses required to collect and remit taxes.

Finance staff will shortly contact all delinquent entities to confirm that they owe this tax. Once that is confirmed, staff will remind them of the monthly due date and associated penalties for late payment. Any revenue projections would be very speculative at this time because not all entities have paid, and the seasonal pattern of revenues cannot be determined without at least one full year of collections.