Sec. 1. 5 MRSA c. 144-A is enacted to read:

CHAPTER 144-A

INTEREST ON REFUNDS OF TAXES AND FEES

§1561.__Definitions

As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings.

1.__Commissioner.__"Commissioner" means the Commissioner of Administrative and Financial Services.

2.__Fee.__"Fee" means any amount of money that is required to be paid by an individual, a business or a corporation to the State or a state agency for any service, license or application, including, but not limited to, all license fees, application fees, examination fees and annual assessments.

3.__State agency.__"State agency" has the same meaning as in section 1552, subsection 6.

4.__Tax.__"Tax" means any tax assessed pursuant to Title 36, except those taxes assessed pursuant to Title 36, Parts 2, 3 or 8.__"Tax" does not include taxes assessed pursuant to Title 26, chapter 13.

§1562.__Refunds of fees or taxes; interest payment required

A state agency that collects a fee or tax and charges interest when the fee or tax is not received by a specific due date shall pay interest at the annual interest rate established by the State Tax Assessor under Title 36, section 186 when a refund of that fee or tax is required.__The interest must be calculated as described by Title 36, section 186 from the date of the payment or payments of the fee or tax.__The commissioner shall adopt rules pursuant to the Maine Administrative Procedure Act to implement this chapter.__Rules adopted pursuant to this section are routine technical rules as defined in Title 5, chapter 375, subchapter II-A.

SUMMARY

This bill requires state agencies that collect certain taxes and fees and charge interest on overdue taxes or fees to pay interest on refunds from the date of the overpayment. This new