This bill amends the existing laws regarding sales and use tax for new and used motor vehicles, trailers, and semitrailers in Arkansas. It aims to increase the sales and use tax exemption for used motor vehicles and adjust the reduced sales and use tax rate applicable to these purchases. The General Assembly recognizes the importance of affordable transportation for Arkansans, particularly those with limited income, and notes that many used vehicles have already been taxed multiple times. The bill includes legislative findings that highlight the need for these changes to alleviate the financial burden on individuals purchasing lower-priced vehicles.

Key amendments include changes to the tax rates for used motor vehicles based on their sales price, with specific provisions for vehicles priced between $10,000 and $15,000. The bill also clarifies that certain exemptions remain unaffected by these changes. Additionally, it establishes an effective date for the new provisions, which will take effect on the first day of the calendar quarter following the bill's enactment. Overall, the bill seeks to make vehicle ownership more accessible for Arkansas residents by reducing the tax burden associated with purchasing used vehicles.

Statutes affected:
Old version SB82 V2 - 4-1-2025 10:29 AM: 26-52-324(a), 26-52-324, 26-52-510(b), 04-01-2025, 26-53-126(b), 26-53-150(a), 26-53-150
Old version SB82 Original - 1-21-2025 12:29 PM: 26-52-324(a), 26-52-324, 26-52-510(b), 26-53-126(b), 26-53-150(a), 26-53-150
SB 82: 26-52-324(a), 26-52-324, 26-52-510(b), 26-53-126(b), 26-53-150(a), 26-53-150