2005 California Revenue and Taxation Code Sections 60360-60366 Article 6. Payment by Unlicensed Persons

60360.  If any person becomes a supplier, exempt bus operator,
government entity, qualified highway vehicle operator, or interstate
user without first securing a license, the tax, and applicable
penalties and interest, if any, become immediately due and payable on
account of all diesel fuel removed, entered, sold, delivered, or
used by him or her.
60361.  (a) The board shall forthwith ascertain as best it may the
amount of the diesel fuel removed, entered, sold, delivered, or used
and shall determine immediately the tax on that amount, adding to the
tax a penalty of 25 percent of the amount of tax or five hundred
dollars ($500), whichever is greater, and shall give the unlicensed
person notice of this determination as prescribed by Section 60340.
However, where the board determines that the failure to secure a
license was due to reasonable cause, the penalty may be waived.
Sections 60331 and 60332 shall be applicable with respect to the
finality of the determination and the right of the unlicensed person
to petition for a redetermination.
   Any person seeking to be relieved of the penalty shall file with
the board a statement under penalty of perjury setting forth the
facts upon which he or she bases the claim for relief.
   (b) In any case where the board does not determine an amount of
tax due, the unlicensed person shall be subject to a penalty of one
hundred dollars ($100), which penalty shall be immediately due and
payable.  Each subsequent violation shall increase the penalty amount
by one hundred dollars ($100), up to a maximum penalty of five
hundred dollars ($500).  The board shall serve the person with a
notice of penalty assessment in the manner prescribed by Section
60340 for service of notice of a deficiency determination.  However,
if the board finds that the failure of the person to secure a license
was due to reasonable cause, the board may waive the penalty.  A
person seeking to be relieved of the penalty shall file with the
board a statement under penalty of perjury setting forth the facts
upon which the request for relief is based.
60361.5.  (a) Except in the case of a qualified highway vehicle
operator, the backup tax imposed under Section 60058 and any
applicable penalties and interest shall be immediately due and
payable.  The board shall forthwith ascertain as best it may the
amount of diesel fuel sold, or delivered into the fuel tank of a
diesel fuel-powered highway vehicle, or sold and delivered into the
fuel tank of a diesel fuel-powered highway vehicle, and shall
determine immediately the tax on the amount and shall give the
highway vehicle operator/fueler notice of this determination as
prescribed by Section 60340.  The determination shall include
interest at the modified adjusted rate per month, or fraction
thereof, established pursuant to Section 6591.5, from the last day of
the month following the date the backup tax applies until the date
of remittance to the state.  The provisions of Sections 60331 and
60332 shall be applicable with respect to the finality of the
determination and the right of the highway vehicle operator/fueler to
petition for a redetermination.
   (b) A penalty of 25 percent of the amount of tax or five hundred
dollars ($500), whichever is greater, shall be added to the tax.
   (c) If more than one of the penalties specified in this section
and Section 60105, 60106.3, or 60503.2 is otherwise applicable, only
the penalty totaling the greatest amount shall be imposed, and the
penalty specified in this section may be imposed only if the amount
of penalty exceeds any other applicable penalty.
   (d) Where the board determines that the sale, delivery into the
fuel tank of a diesel fuel-powered highway vehicle, or sale and
delivery into the fuel tank of a diesel fuel-powered highway vehicle
of untaxed diesel fuel was due to reasonable cause and circumstances
beyond the person's control, and occurred notwithstanding the
exercise of ordinary care and the absence of willful neglect, the
person may be relieved of the penalty.  A person seeking to be
relieved of the penalty shall file with the board a statement under
penalty of perjury setting forth the facts upon which the request for
relief is based.
   (e) All administrative provisions contained in this part that
apply to a supplier shall also be applicable to a highway vehicle
operator/fueler.
60362.  The board shall forthwith collect the tax, penalty, and
interest due from the unlicensed person by seizure and sale of
property in the manner prescribed for the collection of a delinquent
monthly tax.
60363.  At the request of the board, the Attorney General shall
commence and prosecute to final determination an action at law to
collect the tax, penalty, and interest, or any part thereof,
determined against an unlicensed person.
60364.  In the suit, a copy of the jeopardy determination certified
by the board shall be prima facie evidence that the unlicensed person
is indebted to the state in the amount of the tax, penalties, and
interest computed as prescribed by Section 60339.
60365.  The foregoing remedies of the state are cumulative.
60366.  No action taken pursuant to this article relieves the
unlicensed person in any way from the penal provisions of this part.