Minnesota Legislature
HF 3547
2nd Engrossment - 91st Legislature (2019 - 2020) Posted on 03/12/2020 03:59pm
Bill Text Versions
| Engrossments | ||
|---|---|---|
| Introduction | Posted on 02/19/2020 | |
| 1st Engrossment | Posted on 03/02/2020 | |
| 2nd Engrossment | Posted on 03/12/2020 |
Current Version - 2nd Engrossment
1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28 2.29 2.30 2.31 2.32 2.33 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26
3.27 3.28 3.29 3.30 3.31
4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18
4.19
A bill for an act
relating to transportation; amending determination of the motor vehicle registration
tax; amending Minnesota Statutes 2018, section 168.013, by adding a subdivision;
Minnesota Statutes 2019 Supplement, section 168.013, subdivision 1a.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2019 Supplement, section 168.013, subdivision 1a, is
amended to read:
Subd. 1a.
Passenger automobile; hearse.
(a) On passenger automobiles as defined in
section 168.002, subdivision 24, and hearses, except as otherwise provided, thenew text begin registrationnew text end
tax isnew text begin calculated asnew text end $10 plus deleted text begin an additional tax equal todeleted text end new text begin :
new text end
new text begin (1) for a vehicle initially registered in Minnesota prior to the effective date of this section,new text end
1.25 percent of the deleted text begin base value.deleted text end new text begin manufacturer's suggested retail price of the vehicle, subject
to the adjustments in paragraphs (f) and (g); or
new text end
new text begin
(2) for a vehicle initially registered in Minnesota on or after the effective date of this
section, 1.28 percent of the manufacturer's suggested retail price of the vehicle, subject to
the adjustments in paragraphs (f) and (g).
new text end
(b) deleted text begin Subject to the classification provisions herein, "Base value" means the manufacturer's
suggested retail price of the vehicle including destination charge using list price information
published by the manufacturer or determined by the registrar if no suggested retail price
exists, and shalldeleted text end new text begin The registration tax calculation mustnew text end not include the cost of each accessory
or item of optional equipment separately added to the vehicle and thenew text begin manufacturer'snew text end
suggested retail price.new text begin The registration tax calculation must not include a destination charge,
except for a vehicle previously registered in Minnesota prior to the effective date of this
section.
new text end
new text begin (c)new text end In the case of the first registration of a new vehicle sold or leased by a licensed dealer,
the dealer may elect to individually determine the deleted text begin base value ofdeleted text end new text begin registration tax onnew text end the
vehicle usingnew text begin manufacturer'snew text end suggested retail price information provided by the manufacturer.
deleted text begin The registrar must use the base value determined by the dealer to properly classify the
vehicle.deleted text end new text begin The registrar must use the manufacturer's suggested retail price determined by the
dealer as provided in paragraph (d). new text end A dealer that elects to make the determination must
retain a copy of the new text begin manufacturer's new text end suggested retail price label or other supporting
documentation with the vehicle transaction records maintained under Minnesota Rules, part
7400.5200.
deleted text begin
(c) If the manufacturer's list price information contains a single vehicle identification
number followed by various descriptions and suggested retail prices, the registrar shall
select from those listings only the lowest price for determining base value.
deleted text end
deleted text begin
(d) If unable to determine the base value because the vehicle is specially constructed,
or for any other reason, the registrar may establish such value upon the cost price to the
purchaser or owner as evidenced by a certificate of cost but not including Minnesota sales
or use tax or any local sales or other local tax.
deleted text end
deleted text begin
(e) The registrar shall classify every vehicle in its proper base value class as follows:
deleted text end
|
deleted text begin
FROM deleted text end |
deleted text begin
TO deleted text end |
||
|
deleted text begin
$ deleted text end |
deleted text begin
0 deleted text end |
deleted text begin
$ 199.99 deleted text end |
|
|
deleted text begin
$ deleted text end |
deleted text begin
200 deleted text end |
deleted text begin
$ 399.99 deleted text end |
|
deleted text begin
and thereafter a series of classes successively set in brackets having a spread of $200
consisting of such number of classes as will permit classification of all vehicles.
deleted text end
deleted text begin
(f) The base value for purposes of this section shall be the middle point between the
extremes of its class.
deleted text end
deleted text begin (g)deleted text end new text begin (d)new text end The registrar deleted text begin shall establish the base value, when new, of every passenger
automobile and hearse registered prior to the effective date of Extra Session Laws 1971,
chapter 31,deleted text end new text begin must determine the manufacturer's suggested retail price:
new text end
new text begin (1)new text end using list price information published by the manufacturer or any nationally
recognized firm or association compiling such data for the automotive industrydeleted text begin .deleted text end new text begin ;
new text end
new text begin
(2) if the list price information is unavailable, then using the amount determined by a
licensed dealer under paragraph (c);
new text end
new text begin
(3) if a dealer does not determine the amount, then using the retail price label as provided
by the manufacturer under United States Code, title 15, section 1232; or
new text end
new text begin
(4) if the retail price label is not available, then using the actual sales price of the vehicle.
new text end
If new text begin the registrar is new text end unable to ascertain the deleted text begin base valuedeleted text end new text begin manufacturer's suggested retail pricenew text end of
any registered vehicle in the foregoing manner, the registrar may use any other available
source or method.
new text begin (e)new text end The registrar deleted text begin shalldeleted text end new text begin mustnew text end calculatenew text begin the registrationnew text end tax using deleted text begin base valuedeleted text end information
available to dealers and deputy registrars at the time thenew text begin initialnew text end application for registration
is submitted. deleted text begin The tax on all previously registered vehicles shall be computed upon the base
value thus determined taking into account the depreciation provisions of paragraph (h).
deleted text end
deleted text begin (h)deleted text end new text begin (f)new text end The deleted text begin annual additional taxdeleted text end new text begin amount under paragraph (a), clauses (1) and (2),new text end must
be deleted text begin computed upondeleted text end new text begin calculated based onnew text end a percentage of the deleted text begin base valuedeleted text end new text begin manufacturer's
suggested retail price,new text end as follows: during the first year of vehicle life, upon 100 percent of
the deleted text begin base valuedeleted text end new text begin pricenew text end ; for the second year, 90 percent of deleted text begin such valuedeleted text end new text begin the pricenew text end ; for the third
year, 80 percent of deleted text begin such valuedeleted text end new text begin the pricenew text end ; for the fourth year, 70 percent of deleted text begin such valuedeleted text end new text begin the
pricenew text end ; for the fifth year, 60 percent of deleted text begin such valuedeleted text end new text begin the pricenew text end ; for the sixth year, 50 percent of
deleted text begin such valuedeleted text end new text begin the pricenew text end ; for the seventh year, 40 percent of deleted text begin such valuedeleted text end new text begin the pricenew text end ; for the eighth
year, 30 percent of deleted text begin such valuedeleted text end new text begin the pricenew text end ; for the ninth year, 20 percent of deleted text begin such valuedeleted text end new text begin the
pricenew text end ;new text begin andnew text end for the tenth year, ten percent of deleted text begin such value;deleted text end new text begin the price.
new text end
new text begin (g)new text end For the 11th and each succeeding year, the deleted text begin sum ofdeleted text end new text begin amount under paragraph (a),
clauses (1) and (2), must be calculated asnew text end $25.
deleted text begin
(i) In no event shall the annual additional tax be less than $25.
deleted text end
deleted text begin (j)deleted text end new text begin (h) Except as provided in subdivision 23,new text end for any vehicle previously registered in
Minnesota and regardless of prior ownership, the total amount due under this subdivision
and subdivision 1m must not exceed the smallest total amount previously paid or due on
the vehicle.
new text begin EFFECTIVE DATE. new text end
new text begin
Paragraphs (a) to (g) are effective January 1, 2021, or upon
deployment of the necessary changes to the replacement motor vehicle title and registration
information system, whichever is earlier, and apply to taxes payable for a registration period
starting on or after that date. The commissioner of public safety must notify the revisor of
statutes of the implementation date. Paragraph (h) is effective July 1, 2020.
new text end
Sec. 2.
Minnesota Statutes 2018, section 168.013, is amended by adding a subdivision to
read:
new text begin Subd. 23. new text end
new text begin Adjustments to registration tax. new text end
new text begin
(a) Except as provided in this subdivision,
the commissioner must not adjust the manufacturer's suggested retail price or destination
charge for any vehicle in a subsequent registration period following initial registration in
Minnesota.
new text end
new text begin
(b) The commissioner must adjust the registration tax amount of any vehicle to correct
an error or omission that was made in determining or entering the registration tax amount
or the destination charge amount. For a vehicle with a registration tax determined based on
the actual sales price, the commissioner must adjust the registration tax within two years
of the initial registration using one of the methods described in subdivision 1a, paragraph
(d), clauses (1) to (3). The adjusted registration tax amount is effective starting with the
vehicle's next registration period. The commissioner must not collect any amount that would
have been paid but for the error or omission.
new text end
new text begin
(c) When the commissioner makes an adjustment to the registration tax amount pursuant
to this subdivision, the commissioner must mail written notice to the owner of the vehicle
stating that an adjustment was made to the registration tax amount, the reason for the
adjustment, and contact information so that the owner may call to ask questions.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective July 1, 2020.
new text end