(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.

Verification of the purchase price for the application of excise tax is determined by the initial bill of sale or the state sales tax document provided at the 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, section 405, subsection 1, paragraph C, the excise tax must be prorated for the number of months in the registration.

Emergency clause. In view of the emergency cited in the preamble, this Act takes effect when approved.

SUMMARY

This bill changes the method of computing the excise tax that is levied on motor vehicles and campers registered in the State.

With the exception of commercial motor vehicles and special mobile equipment, current law requires that the excise tax be based upon the maker's list price for the motor vehicle; the excise tax on commercial motor vehicles and special mobile equipment is based on the purchase price.

This bill requires that the excise tax for all motor vehicles and campers be based upon the purchase price of the vehicle. Either the original bill of sale or the state sales tax document may be used to verify the purchase price. The bill repeals the section of law dealing with the computation of excise taxes on commercial motor vehicles since all motor vehicles would be taxed in the same manner under this bill.