County t reasurers deposit the excise tax revenue into a special fund. The county, townships, cities and towns, school corporations, library districts, and other special districts share in excise tax revenue. Revenue is divided among the county, township, city or town, school corporation other jurisdictions where each vehicle owner resides. The division is based on the distribution of property tax payments to those jurisdictions. Motor vehicle excise tax revenue is not used exclusively for road maintenance and construction.
All local jurisdictions receive a share of the revenue, and can use it for any purpose.
Excise Tax Rate Table A list of the other fees collected by the Bureau of Motor Vehicles. The State Distribution Motor vehicle tax rates have been reduced significantly in the 1990s. In 1996 many rates were cut in half. Collecting less in taxes from vehicle owners means, of course, that local governments receive less tax revenue. In 1996 the state allocated revenue from the lottery, from riverboat gaming, and from the general fund to partially replace this lost revenue.