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IN SB0249

Bill

Status

Introduced

1/7/2016

Primary Sponsor

James Buck

Click for details

Origin

Senate

2016 Regular Session

AI Summary

  • Owners of motorized heavy equipment vehicles with declared gross weight of at least 1,500 pounds pay an annual 2% excise tax on taxable value instead of property tax, effective for assessment dates after December 31, 2016.

  • Vehicle owners must register annually with the department of state revenue by May 1, paying tiered filing fees ranging from $100 (for up to 100 vehicles) to $1,500 (for more than 1,000 vehicles).

  • Taxable value is determined by multiplying acquisition cost by a percentage based on years in service, ranging from 40% in year one to 15% for seven or more years.

  • A 2% rental excise tax is imposed on motorized heavy equipment vehicle rentals, with owners receiving a dollar-for-dollar credit against their annual excise tax liability for rental taxes collected.

  • Collected excise and rental taxes are distributed to counties by July 15 annually based on where the equipment owner maintains their business location or last known vehicle location.

Legislative Description

Heavy equipment excise and rental tax. Provides that the owner of a motorized heavy equipment vehicle shall pay a motorized heavy equipment vehicle excise tax (excise tax), instead of the property tax, on the vehicle. Provides that the owner of a motorized heavy equipment vehicle is required to register the vehicle each year with the department of state revenue. Imposes a rental excise tax on the rental of taxable motorized heavy equipment vehicles. Provides a credit against the excise tax equal to the rental excise taxes collected on rentals of taxable motorized heavy equipment vehicles.

Last Action

First reading: referred to Committee on Tax & Fiscal Policy

1/7/2016

Committee Referrals

Tax and Fiscal Policy1/7/2016

Full Bill Text

No bill text available