Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

SF 2258

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

  1.1                          A bill for an act 
  1.2             relating to motor vehicles; abolishing registration 
  1.3             tax on passenger automobiles worth less than $30,000; 
  1.4             amending Minnesota Statutes 1996, section 168.013, 
  1.5             subdivision 1a. 
  1.7      Section 1.  Minnesota Statutes 1996, section 168.013, 
  1.8   subdivision 1a, is amended to read: 
  1.9      Subd. 1a.  [PASSENGER AUTOMOBILES; HEARSES.] (a) On 
  1.10  passenger automobiles as defined in section 168.011, subdivision 
  1.11  7, having a taxable value of $30,000 or more and on hearses, 
  1.12  except as otherwise provided, the tax shall be $10 plus an 
  1.13  additional tax equal to 1.25 percent of the base value as 
  1.14  adjusted under paragraph (h).  For purposes of this subdivision, 
  1.15  "taxable value" means the vehicle's base value, as defined in 
  1.16  paragraph (b), multiplied by the depreciation percentage 
  1.17  applicable under paragraph (h).  
  1.18     (b) Subject to the classification provisions herein, "base 
  1.19  value" means the manufacturer's suggested retail price of the 
  1.20  vehicle including destination charge using list price 
  1.21  information published by the manufacturer or determined by the 
  1.22  registrar if no suggested retail price exists, and shall not 
  1.23  include the cost of each accessory or item of optional equipment 
  1.24  separately added to the vehicle and the suggested retail price. 
  1.25     (c) If the manufacturer's list price information contains a 
  2.1   single vehicle identification number followed by various 
  2.2   descriptions and suggested retail prices, the registrar shall 
  2.3   select from those listings only the lowest price for determining 
  2.4   base value. 
  2.5      (d) If unable to determine the base value because the 
  2.6   vehicle is specially constructed, or for any other reason, the 
  2.7   registrar may establish such value upon the cost price to the 
  2.8   purchaser or owner as evidenced by a certificate of cost but not 
  2.9   including Minnesota sales or use tax or any local sales or other 
  2.10  local tax. 
  2.11     (e) The registrar shall classify every vehicle in its 
  2.12  proper base value class as follows: 
  2.13                        FROM                   TO
  2.14                        $  0                $199.99
  2.15                         200                 399.99
  2.16  and thereafter a series of classes successively set in brackets 
  2.17  having a spread of $200 consisting of such number of classes as 
  2.18  will permit classification of all vehicles. 
  2.19     (f) The base value for purposes of this section shall be 
  2.20  the middle point between the extremes of its class. 
  2.21     (g) The registrar shall establish the base value, when new, 
  2.22  of every passenger automobile and hearse registered prior to the 
  2.23  effective date of Extra Session Laws 1971, chapter 31, using 
  2.24  list price information published by the manufacturer or any 
  2.25  nationally recognized firm or association compiling such data 
  2.26  for the automotive industry.  If unable to ascertain the base 
  2.27  value of any registered vehicle in the foregoing manner, the 
  2.28  registrar may use any other available source or method.  The tax 
  2.29  on all previously registered vehicles shall be computed upon the 
  2.30  base value thus determined taking into account the depreciation 
  2.31  provisions of paragraph (h). 
  2.32     (h) Except as provided in paragraph (i), The annual 
  2.33  additional tax computed upon the base value as provided herein, 
  2.34  during the first and second years of vehicle life shall be 
  2.35  computed upon 100 percent of the base value; for the third and 
  2.36  fourth years, 90 percent of such value; for the fifth and sixth 
  3.1   years, 75 percent of such value; for the seventh year, 60 
  3.2   percent of such value; for the eighth year, 40 percent of such 
  3.3   value; for the ninth year, 30 percent of such value; for the 
  3.4   tenth year, ten percent of such value; for the 11th and each 
  3.5   succeeding year, the sum of $25.  
  3.6      In no event shall the annual additional tax be less than 
  3.7   (1) $25 for a hearse and (2) $385 for a passenger automobile 
  3.8   having a taxable value of $30,000 or more.  
  3.9      (i) The annual additional tax under paragraph (h) on a 
  3.10  motor vehicle on which the first annual tax was paid before 
  3.11  January 1, 1990, must not exceed the tax that was paid on that 
  3.12  vehicle the year before. 
  3.14     Section 1 is effective July 1, 1998, and applies to the 
  3.15  registration of, and payment of the registration tax on, 
  3.16  passenger vehicles on and after that date.