An Act To Base the Motor Vehicle Excise Tax on Actual Sale Price
Maine Legislature, Session 130, LD 0970
Committee: Taxation
Sponsors: CONNOR, COLLAMORE, DUCHARME, GRIFFIN, GRIGNON, KINNEY, LIBBY, POIRIER, SKOLFIELD
Amends: 36 MRSA §1482

Legislative Document
No. 970
H.P. 716
House of Representatives, March 9, 2021
An Act To Base the Motor Vehicle Excise Tax on Actual Sale Price
Reference to the Committee on Taxation suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative CONNOR of Lewiston.
Cosponsored by Representatives: COLLAMORE of Pittsfield, DUCHARME of Madison, 
GRIFFIN of Levant, GRIGNON of Athens, KINNEY of Knox, LIBBY of Auburn, POIRIER 
of Skowhegan, SKOLFIELD of Weld.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  36 MRSA §1482, sub-§1, ¶C, as amended by PL 2013, c. 263, §1, 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), (4) or, (5) 
or (6):  a sum equal to 24 mills on each dollar of the maker's list price for the first or 
current year of model, 17 1/2 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 registrations 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 list price.  Verification of purchase price for the application of excise 
tax is determined by the initial bill of sale or the state sales 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.
(4)  For buses manufactured in model year 2006 and after, the amount of excise 
tax due is based on the purchase price in the original year of title rather than on the 
list price.  Verification of purchase price for the application of excise tax is 
determined by the initial bill of sale or the state sales 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.
(5)  For trucks or truck tractors registered for more than 26,000 pounds that have 
been reconstructed using a prepackaged kit that may include a frame, front axle or 
body but does not include a power train or engine and for which a new certificate 
of title is required to be issued, the amount of excise tax due is based on the maker's 
list price of the prepackaged kit.
(6)  For motor vehicles purchased after December 31, 2022 from a new vehicle 
dealer, as defined in Title 29-A, section 851, subsection 9, or a used car dealer, as 
defined in Title 29-A, section 851, subsection 11, the amount of excise tax due is 
based on the purchase price of the motor vehicle.  Notwithstanding section 1481, 
subsection 7, for the purposes of this subparagraph, "purchase price" means the 
amount of money financed or paid by the consumer after application of any trade-
ins, rebates or discounts or offers or promises that the consumer receive back all 
or a portion of the price paid.  Verification of purchase price for the application of 
excise tax is determined by the bill of sale or the state sales tax document provided 
by the dealer at point of purchase.
For motor vehicles being registered pursuant to Title 29‑A, section 405, subsection 1, 
paragraph C, the excise tax must be prorated for the number of months in the 
registration.
SUMMARY
This bill provides that, for a motor vehicle purchased after December 31, 2022, the 
motor vehicle excise tax must be based on the purchase price for the motor vehicle if 
purchased from a new vehicle dealer or a used car dealer.  For other motor vehicles, the 
excise tax continues to be based on the maker's list price.