Be Aware: New Sales And Use Tax Rates And Changes In Vehicle Registration Renewals

Posted by Graniterock on Mar 18, 2015

Effective July 1, 2011, the statewide sales and use tax rate is set to decrease from 8.25% to 7.25%. In municipalities where there are voter-approved district taxes, the total tax related to sales will be the statewide base tax rate of 7.25% plus the applicable district tax. Please see for a complete list of changes and Rates

Also, for vehicle registration renewal fees due July 1, 2011 and later:

• State law requires DMV to implement changes in the billing and renewal process for registration fees due on or after July 1, 2011.

• Registration renewal notices will be mailed out close to or on the expiration date. (Previously notices were mailed 60-days ahead of the expiration date).

• NOTE: Fees are still due for registration notices due prior to July 1, 2011.

• No money will be collected until renewal notices are issued. (Previously renewal fees could be collected up to 75 days ahead of the expiration date and were required to be collected within 30 days of expiration when part of another transaction such as a transfer of vehicle ownership)

• All customers will be given a 30-day grace period after they receive their registration notice. Penalties for delinquent payment will not be imposed until 30 days after the registration expiration date. (Previously penalties were due the day after the registration expiration date)

• Law enforcement is aware and will not cite vehicles until the first day of the second month after the vehicle registration expires. For example: A vehicle with a registration expiration date of July 10 would not be cited for delinquent registration prior to September 1, 2011.

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