The Vehicle License Fee Law establishes, in lieu of any ad valorem property tax upon vehicles, an annual license fee for any vehicle subject to registration in this state in the amount of 2% of the market value of that vehicle, as specified. For vehicle license fees with a final due date on or after January 1, 1999, existing law establishes a permanent offset in the amount of 25% and, subject to specified contingencies with respect to fiscal year projections of General Fund revenues, provides for the implementation of similar, superseding offsets of 35%, 46.5%, 55%, and 67.5% to be applied to specified future calendar years.
This bill would deem vehicle license fees, due in 1998 on or before December 31 of that year with respect to an internationally registered vehicle, to have had a final due date during the 1999 calendar year. This bill would state the intent of the Legislature with respect to that provision, and would require the Department of Motor Vehicles to apply the motor vehicle license fee offsets resulting from this bill to motor vehicle license fees that will become due and payable in 1999 with respect to internationally registered vehicles.
This bill would take effect immediately as a tax levy.