SENATE BILL REPORT

SB 5251

BYSenators McCaslin, Barr and Rasmussen

Establishing a mid-month cutoff for initial calculation of motor vehicle excise tax.

Senate Committee on Transportation

Senate Hearing Date(s):February 16, 1989

Senate Staff:Robin Rettew (786-7306)

FEBRUARY 17, 1989

BACKGROUND:

An owner registering a vehicle for the first time in Washington State may not have a full twelve month registration period before it is time to renew the vehicle registration.  The initial vehicle registration year begins on the first day of the month in which a vehicle is registered, regardless of the day of the month on which it it is registered.  For example, if the initial registration is transacted on January 15, 1989, the registration year is defined as January 1, 1989 to January 1, 1990 and excise tax is paid for the full twelve month period.

SUMMARY:

Vehicles initially registered during the first fifteen days of a month pay twelve months excise tax.  Vehicles registered in the last fifteen days of the month pay eleven months of excise tax.

Appropriation:    $11,767

Revenue:    none

Fiscal Note:      available