HF 80

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to motor vehicles; reducing rate of 
  1.3             additional registration tax on passenger automobiles 
  1.4             and hearses; providing for distribution of revenue 
  1.5             from motor vehicle sales tax; amending Minnesota 
  1.6             Statutes 1998, sections 168.013, subdivision 1a; and 
  1.7             297B.09, subdivision 1. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1998, section 168.013, 
  1.10  subdivision 1a, is amended to read: 
  1.11     Subd. 1a.  [PASSENGER AUTOMOBILE; HEARSE.] (a) On passenger 
  1.12  automobiles as defined in section 168.011, subdivision 7, and 
  1.13  hearses, except as otherwise provided, the tax shall be $10 plus 
  1.14  an additional tax equal to 1.25 0.625 percent of the base value. 
  1.15     (b) Subject to the classification provisions herein, "base 
  1.16  value" means the manufacturer's suggested retail price of the 
  1.17  vehicle including destination charge using list price 
  1.18  information published by the manufacturer or determined by the 
  1.19  registrar if no suggested retail price exists, and shall not 
  1.20  include the cost of each accessory or item of optional equipment 
  1.21  separately added to the vehicle and the suggested retail price. 
  1.22     (c) If the manufacturer's list price information contains a 
  1.23  single vehicle identification number followed by various 
  1.24  descriptions and suggested retail prices, the registrar shall 
  1.25  select from those listings only the lowest price for determining 
  1.26  base value. 
  2.1      (d) If unable to determine the base value because the 
  2.2   vehicle is specially constructed, or for any other reason, the 
  2.3   registrar may establish such value upon the cost price to the 
  2.4   purchaser or owner as evidenced by a certificate of cost but not 
  2.5   including Minnesota sales or use tax or any local sales or other 
  2.6   local tax. 
  2.7      (e) The registrar shall classify every vehicle in its 
  2.8   proper base value class as follows: 
  2.9                         FROM                   TO
  2.10                        $  0                $199.99
  2.11                         200                 399.99
  2.12  and thereafter a series of classes successively set in brackets 
  2.13  having a spread of $200 consisting of such number of classes as 
  2.14  will permit classification of all vehicles. 
  2.15     (f) The base value for purposes of this section shall be 
  2.16  the middle point between the extremes of its class. 
  2.17     (g) The registrar shall establish the base value, when new, 
  2.18  of every passenger automobile and hearse registered prior to the 
  2.19  effective date of Extra Session Laws 1971, chapter 31, using 
  2.20  list price information published by the manufacturer or any 
  2.21  nationally recognized firm or association compiling such data 
  2.22  for the automotive industry.  If unable to ascertain the base 
  2.23  value of any registered vehicle in the foregoing manner, the 
  2.24  registrar may use any other available source or method.  The tax 
  2.25  on all previously registered vehicles shall be computed upon the 
  2.26  base value thus determined taking into account the depreciation 
  2.27  provisions of paragraph (h). 
  2.28     (h) Except as provided in paragraph (i), the annual 
  2.29  additional tax computed upon the base value as provided herein, 
  2.30  during the first and second years of vehicle life shall be 
  2.31  computed upon 100 percent of the base value; for the third and 
  2.32  fourth years, 90 percent of such value; for the fifth and sixth 
  2.33  years, 75 percent of such value; for the seventh year, 60 
  2.34  percent of such value; for the eighth year, 40 percent of such 
  2.35  value; for the ninth year, 30 percent of such value; for the 
  2.36  tenth year, ten percent of such value; for the 11th and each 
  3.1   succeeding year, the sum of $25.  
  3.2      In no event shall the annual additional tax be less than 
  3.3   $25.  
  3.4      (i) The annual additional tax under paragraph (h) on a 
  3.5   motor vehicle on which the first annual tax was paid before 
  3.6   January 1, 1990, must not exceed the tax that was paid on that 
  3.7   vehicle the year before. 
  3.8      Sec. 2.  Minnesota Statutes 1998, section 297B.09, 
  3.9   subdivision 1, is amended to read: 
  3.10     Subdivision 1.  [GENERAL FUND SHARE.] (a) Money collected 
  3.11  and received under this chapter must be deposited in the state 
  3.12  treasury and credited to the general fund.  The amounts 
  3.13  collected and received shall be credited as provided in this 
  3.14  subdivision, and transferred from the general fund on July 15 
  3.15  and February 15 of each fiscal year.  The commissioner of 
  3.16  finance must make each transfer based upon the actual receipts 
  3.17  of the preceding six calendar months and include the interest 
  3.18  earned during that six-month period.  The commissioner of 
  3.19  finance may establish a quarterly or other schedule providing 
  3.20  for more frequent payments to the transit assistance fund if the 
  3.21  commissioner determines it is necessary or desirable to provide 
  3.22  for the cash flow needs of the recipients of money from the 
  3.23  transit assistance fund.  
  3.24     (b) Twenty-five percent of the money collected and received 
  3.25  under this chapter after June 30, 1990, and before July 1, 1991, 
  3.26  must be transferred to the highway user tax distribution fund 
  3.27  and the transit assistance fund for apportionment as follows:  
  3.28  75 percent must be transferred to the highway user tax 
  3.29  distribution fund for apportionment in the same manner and for 
  3.30  the same purposes as other money in that fund, and the remaining 
  3.31  25 percent of the money must be transferred to the transit 
  3.32  assistance fund to be appropriated to the commissioner of 
  3.33  transportation for transit assistance within the state and to 
  3.34  the metropolitan council.  
  3.35     (c) The distributions under this subdivision to the highway 
  3.36  user tax distribution fund until June 30, 1991, and to the trunk 
  4.1   highway fund thereafter, must be reduced by the amount necessary 
  4.2   to fund the appropriation under section 41A.09, subdivision 1.  
  4.3   For the fiscal years ending June 30, 1988, and June 30, 1989, 
  4.4   the commissioner of finance, before making the transfers 
  4.5   required on July 15 and January 15 of each year, shall estimate 
  4.6   the amount required to fund the appropriation under section 
  4.7   41A.09, subdivision 1, for the six-month period for which the 
  4.8   transfer is being made.  The commissioner shall then reduce the 
  4.9   amount transferred to the highway user tax distribution fund by 
  4.10  the amount of that estimate.  The commissioner shall reduce the 
  4.11  estimate for any six-month period by the amount by which the 
  4.12  estimate for the previous six-month period exceeded the amount 
  4.13  needed to fund the appropriation under section 41A.09, 
  4.14  subdivision 1, for that previous six-month period.  If at any 
  4.15  time during a six-month period in those fiscal years the amount 
  4.16  of reduction in the transfer to the highway user tax 
  4.17  distribution fund is insufficient to fund the appropriation 
  4.18  under section 41A.09, subdivision 1, for that period, the 
  4.19  commissioner shall transfer to the general fund from the highway 
  4.20  user tax distribution fund an additional amount sufficient to 
  4.21  fund the appropriation for that period, but the additional 
  4.22  amount so transferred to the general fund in a six-month period 
  4.23  may not exceed the amount transferred to the highway user tax 
  4.24  distribution fund for that six-month period. as follows: 
  4.25     (1) 62 percent to the general fund; and 
  4.26     (2) 38 percent to the highway user tax distribution fund. 
  4.27     Sec. 3.  [EFFECTIVE DATE.] 
  4.28     Section 1 is effective November 15, 1999, for registration 
  4.29  year 2000 and subsequent years.  Section 2 is effective January 
  4.30  1, 2000.