The bill amends the law regarding the rental vehicle tax in Arkansas, specifically focusing on the distribution and use of the revenues generated from this tax. It stipulates that twenty-five percent (25%) of the additional rental vehicle tax revenues, up to a specified amount, will be allocated exclusively for teacher salaries. Additionally, the Arkansas Public Transit Trust Fund will now consist of a designated portion of the net revenues derived from the additional rental vehicle tax, rather than a fixed percentage.

Furthermore, the bill outlines the distribution of the remaining twenty-five percent (25%) of the rental vehicle tax revenues. It specifies that the first $1,344,957 in a fiscal year will be directed to the Division of Elementary and Secondary Education Public School Fund Account for teacher salaries, while any remaining funds will be deposited into the Arkansas Public Transit Trust Fund. This restructuring aims to enhance funding for both education and public transit initiatives in the state.

Statutes affected:
Old version HB1821 Original - 3-30-2023 06:53 PM: 19-5-305(b), 19-5-1126(b), 26-63-302(c)
Old version HB1821 V2 - 4-5-2023 08:48 AM: 19-5-305(b), 19-5-1126(b), 26-63-302(c)
HB 1821: 19-5-305(b), 19-5-1126(b), 26-63-302(c)