MN HF3562

Reduces the motor vehicle registration tax rate from 1.54% to 1.25% of MSRP for vehicles initially registered before November 16, 2020, and from 1.575% to 1.285% for vehicles registered on or after that date

Accelerates vehicle depreciation for tax purposes, reducing the percentage of MSRP used in calculations (e.g., second year drops from 95% to 90%, third year from 90% to 80%, continuing through year nine)

Applies to passenger automobiles and hearses, with the base tax remaining at $10 plus the calculated percentage

Effective the day following final enactment for registration periods starting on or after January 1, 2027