AR HB1377

Extends the timeframe for consumers to purchase a new or used vehicle, trailer, or semitrailer from 45 days to 60 days after selling a used vehicle to qualify for tax benefits under Arkansas Code § 26-52-510(b)(1)(C)(i).

Allows consumers who sell a used motor vehicle, trailer, or semitrailer and subsequently purchase a new or used vehicle of greater value within the 60-day period to pay gross receipts taxes only on the net difference between the purchase price and sale proceeds.

Applies the same 60-day timeframe extension to the compensating use tax under Arkansas Code § 26-53-126(b)(3)(A) for used motor vehicles, trailers, and semitrailers sold by consumers.

Approved March 8, 2021.