This bill amends existing laws regarding the collection of sales and use taxes on new and used motor vehicles, trailers, and semitrailers in Arkansas. It mandates that sales tax be collected at the point of sale by dealers, rather than directly from the purchaser as previously required. The bill also clarifies that consumers must pay the tax at the time of registration for vehicles purchased from non-dealers, and it outlines the process for claiming deductions and rebates related to the sale of used vehicles.

Key amendments include the requirement for dealers to collect sales tax at the time of sale, the stipulation that consumers purchasing from dealers cannot claim deductions for trade-ins, and the establishment of a process for consumers to claim rebates on taxes paid. The bill also specifies that the effective date for these changes will be the first day of the calendar quarter following its enactment.

Statutes affected:
Old version HB1968 V2 - 4-8-2025 09:57 AM: 14-164-333(a), 26-52-510(a), 26-52-510(b), 26-52-510(f), 26-52-523(c), 26-74-213(b), 26-74-408(b), 26-75-212(b), 26-82-108(b)
Old version HB1968 Original - 4-1-2025 05:14 PM: 14-164-333(a), 26-52-510(a), 26-52-510(b), 26-52-510(f), 26-52-523(c), 26-74-213(b), 26-74-408(b), 26-75-212(b), 26-82-108(b)
HB 1968: 14-164-333(a), 26-52-510(a), 26-52-510(b), 26-52-510(f), 26-52-523(c), 26-74-213(b), 26-74-408(b), 26-75-212(b), 26-82-108(b)