An Act To Base the Excise Tax on Vehicles on a Percentage of the Manufacturer's Suggested Retail Price
Maine Legislature, Session 124, LD 0195
Committee: Taxation
Sponsors: KNIGHT, SMITH, CHASE, CLARK, GILES, JONES, LANGLEY, SIROIS
Amends: 36 MRSA §1482

MAINE STATE LEGISLATURE 
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·124thMAI E LEGISLATURE 
FIRST P."EGULAR SESSION-2009 
Legislative Document 
No. 195 
H.P.160 
House of Representatives, January 21,2009 
An Act To Base the Excise Tax on Vehicles on a Percentage of the 
Manufacturer's Suggested Retail Price 
Reference to the Committee on Taxation suggested and ordered printed. 
Presented by Representative KNIGHT of Livennore Falls. 
Cosponsored by Senator SMITH of Piscataquis and 
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MILLICENT M. MacFARLAND 
Clerk 
Representatives: CHASE of Wells, CLARK of Millinocket, GILES of Belfast, JONES of 
MountVernon, LANGLEY of Ellsworth, PlOTT I of Unity, SIROIS of Turner, VAN WIE of . 
New Glollcester.· 
Pril1led on rccycled p'lpcr 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 36 MRSA §1482, sub-§l, CjfC, as amended by PL 2001, c. 671, §32, is 
further amended to read: 
. 
C. 
For the privilege of operating a motor vehicle or camper trailer on the public 
ways, each motor vehicle, other than a stock race car, or each camper trailer to be so 
operated is subject to excise tax as follows, except as specified in subparagraph (3): a 
sum equal to 24 mills on each dollar of the adjusted maker's list price for the first or 
current year of model, 17 112 mills for the 2nd year, 13 1/2 mills for the 3rd year, 10 
mills for the 4th year, 6 1/2 mills for the 5th year and 4 mills for the 6th and 
succeeding years. The minimum tax is $5 for a motor vehicle other than a bicycle 
with motor attached, $2.50 for a bicycle with motor attached, $15 for a camper trailer 
other than a tent trailer and $5 for a tent trailer. The excise tax' on a stock race car is 
$5. 
( 1) On new registration s of automobiles, trucks and truck tractors, the excise tax 
payment must be made prior to registration and is for a one-year period from the 
date of registration. 
(2) Vehicles registered under the International Registration Plan are subject to 
an excise tax determined on a monthly proration basis if their registration period 
is less than 12 months. 
. 
(3) For commercial vehicles manufactured in model year 1996 and after, the 
amount of excise tax due for trucks or truck tractors registered for more than 
26,000 pounds and for Class A special mobile equipment, as defined in Title 29~ 
A, section 101, subsection 70, is based on the purchase price in the original year 
of title rather than on the I ist price. 
Verification. of purchase price for the 
application of excise taxis determined by the initial bill of sale or the state saies 
tax document provided at point of purchase. The initial bill of sale is that issued 
by the dealer to the initial purchaser of a new vehicle. 
For motor vehicles being registered pursuant to Title 29-A, ~ection 405, subsection 1, 
paragraph C, the excise tax must be prorated for the number of months in the 
registration. For purposes of this paragraph, "adjusted maker's list price" means 90% 
of the maker's. list price, as defined in subsection 4. 
Sec. 2. Application. This Act applies to motor vehicles registered on or after 
October 1,2009. 
SUMMARY 
. 
Curr~nt law requires the excise tax paid on motor vehicles to' be; based on .the ... 
manufacturer's suggested retail price, regardless of the amount actually paidJorth..eJnotor: . 
vehicle. 
This bill instead requires the excise tax to be based on 90% of the manufacturer's 
suggested retail price for the motor vehicle, regardless of the amount actually paid for the 
motor vehicle. 
Page) - 124LR0286(Ot)-t 
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