The proposed bill, General Assembly Proposed Bill No. 5612, aims to amend the current statutes regarding the taxation of motor vehicles by replacing the existing municipal property tax with a uniform state-wide property tax rate. This change would eliminate the current system of varying municipal tax rates and establish a fixed rate applicable across the state. The revenue generated from this new state-wide tax would then be distributed to municipalities in proportion to the amounts they currently collect from motor vehicle property taxes.

The intent of this legislation is to create a more standardized approach to motor vehicle taxation, simplifying the process for taxpayers and ensuring equitable revenue distribution among municipalities. By implementing this uniform tax rate, the bill seeks to address disparities in local tax rates and provide a consistent framework for motor vehicle taxation throughout the state.