CS for Senate Bill No. 66(TRA) - Summary

• Imposes a 10 percent excise tax on passenger vehicle rentals and a 3 percent excise tax on recreational vehicle rentals based on total fees and costs charged.

• Exempts long-term rentals from the tax: 28 days or more for passenger vehicles and 90 days or more for recreational vehicles if contracts are in writing and not terminated early.

• Exempts specific vehicle types from taxation including commercial motor vehicles, emergency equipment, farm vehicles, taxicabs, rental trucks over 8,500 pounds, motorcycles, construction vehicles, cargo vehicles, all-terrain vehicles, and property trailers.

• Extensions of exempt long-term leases remain tax-exempt if agreed upon before the initial lease period expires with no break in service.

• Takes effect immediately upon enactment.