KRS 138.342: Application for refund -- Investigation and payment -- Effect of false and

fraudulent application.

(1) Applications for refund pursuant to KRS 138.341 shall be made to the department

on a calendar quarter or calendar year basis on forms and in the man ner prescribed

by it for the refund of tax paid on aviation motor fuel used during the calendar

quarter or calendar year. Each application for a refund shall show the number of

gallons of aviation motor fuel purchased during the preceding month; the date a nd

quantity of each purchase; the vendor from whom the fuel was purchased; the

number of gallons on which refund is claimed; and other information the

department may require.

(2) The department shall audit the application and make other investigation it de ems

necessary to determine whether it constitutes a proper claim. When the department

is satisfied that a refund is proper, it shall authorize the tax paid to be refunded as

other refunds are made and the amount refunded shall be deducted from current

motor fuel tax receipts. The tax shall be refunded with interest at the tax interest

rate as defined in KRS 131.010(6).

(3) When the department finds that an application for a refund contains a false or

fraudulent statement or that a refund has been fraudulently obtained, the department

shall refuse to grant any refunds to the person making the false or fraudulent

statement or fraudulently obtaining a refund for a period of two (2) years from the

date of the finding.