Excise Bill/tax
 

I got the Z mid-november 2010. My excise tax from Nov 2010 - Dec 2010 is costing me $130 in excise tax for Mass. What the heck is a whole year going to look like ??! You 2009 owners - what is your excise bill like?

Buying at the end of the year was a smart move as the following year's excise tax will be lower due them taxing the car as 1 year old (provided you bought a 2010 model).

The tax rate is 2.5% of the MSRP value (not the purchase price) multipled by either:
Year of manufacture: 90%
Year after the year of manufacture: 60%
Third year: 40%
Forth year: 25%
Fifth and subsequent years: 10%

So assuming a 2010 model this will be: Purchase price * 2.5% * 60%
e.g. 34000 * 0.025 * 0.6 = $510

I bought a 2009 370Z at the beginning of 2009 so I got screwed with the 90% rate. Last October I bought a new 2010 truck and the excise tax this year was much lower.

Also your town is apparently slow sending out the forms, I received mine at the beginning of Feburary and had to pay before the end of the month! Money grabbing town :)

+1 for super math and clearing up the topic of excise tax for me!
They sent out the forms February 18th or so. I have 30 days from then and freaked out today. I've been late sending in excise the past 2 years haha (for other vehicle)

You answered my question exactly right, as I did hear about the 60% and 90%, but didn't know of the 2.25% multiplier or of the subsequent percentages as the car ages. So next year's excise will count my car as a year old :) Not bad for 2600 miles on the odometer :)

Hi Chris,

Thank you for the info on the excise tax, especially how they depreciate the vehicle cost over time. I did notice on my tax bill that the State excise rate is $25 per $1000, which, I believe comes out to 2.5%. Not sure if this would change your equation's tax rate from 0.0225 to 0.025?

Thanx Again,
Jim

Yes you're right, it is 2.5% not 2.25%, apologies for the error.