IL HB3945

Removes the provision that would have taxed motor vehicle trade-in values exceeding $10,000 starting January 1, 2020, restoring the full trade-in tax exemption for all tangible personal property of like kind and character

Amends the Use Tax Act and Retailers' Occupation Tax Act to exclude the full value of trade-ins from the "selling price" calculation for tax purposes, reversing a change that was scheduled to take effect

Increases the private party vehicle use tax rates beginning January 1, 2020, with new tax brackets ranging from $100-$465 for vehicles under $15,000 (based on age) and $850-$10,100 for vehicles $15,000 and above (based on price)

Applies the standard motor vehicle use tax rates to motorcycles, motor driven cycles, and mopeds starting January 1, 2020, replacing the previous flat $25 tax

Takes effect immediately upon becoming law