This bill amends the Use Tax Act of 1937 by adding a new section, 4hh, which exempts motor vehicles sold to qualified disabled veterans from the use tax, provided that the vehicle is registered to the veteran and is for personal use only. A "qualified disabled veteran" is defined as a disabled veteran according to the definition in section 7b of the General Property Tax Act. This exemption will take effect on January 1, 2026.

Additionally, the bill modifies section 21 of the Use Tax Act to include a provision that requires revenue lost to the state school aid fund as a result of the exemption under section 4hh to be accounted for. This ensures that the financial implications of the new exemption are recognized in the overall tax revenue framework. The bill also includes various provisions regarding the distribution of tax revenues to different funds, including the state school aid fund and local community stabilization share.

Statutes affected:
House Introduced Bill: 205.111