Good News on Abuser Fees, Except...

By: Lowell
Published On: 1/22/2008 5:46:50 PM

This is great news:

The Virginia House of Delegates quickly and quietly voted Tuesday to tweak last year's landmark transportation package by repealing the costly, unpopular fees on dangerous drivers.

Or, it WOULD be great news except for a couple of major problems:

1. "The proposal, which now goes to the Senate, also would require Northern Virginia residents to pay sales taxes on car purchases directly to the state instead of through dealers -- a move the state Department of Transportation says could leave buyers standing in long lines at the DMV."

2. "It does not say where the $65 million that the fees were supposed to raise annually will come from."

OK, guys, it's easy to get rid of these things when the public practically at the Capitol gates with pitchforks.  But now, you need to fix #1 and you need to deal with #2.  Good luck.


Comments



Only NoVA residents? (Doug in Mount Vernon - 1/22/2008 6:40:34 PM)
If that's true, WTF?

Can these people not get ANYTHING right!!!????  The $65M should be coming from a very modest increase in Virginia's already low gas tax.  It better apply to more than just NoVA gas purchases, though!!!!!



The DMV move (tx2vadem - 1/22/2008 7:03:36 PM)
would not raise any revenue.  Instead of paying sales tax to the dealer, you would go to the DMV to pay it.  I guess that is to get money into state coffers quicker.  But it just seems ridiculous.  They could require the dealers to remit the funds more frequently via Electronic Funds Transfer (EFT) if they wanted it faster.

You would think such unequal treatment would be unconstitutional; but let the Republican keep pissing off NoVA voters.  It will just make it that much easier to turn people out this year for Democrats in the general election and next year for state elections.



I Beg To Differ (HisRoc - 1/22/2008 7:07:27 PM)
The dealer will continue to collect the state-wide 3% sales tax.  However, the auto dealer lobbyists successfully appealed to have the additional NoVa 1% collected at the DMV so that their customers would not see a higher price on the lot.

Scumbags.  



Yep. (Eric - 1/22/2008 7:58:12 PM)
direct from the WAPO article
Car dealers do not want to collect the additional regional tax because of the work it requires and because customers could confuse the tax as part of the car price. Dealers already collect a 3 percent sales tax for the state, which can be financed as part of a car sale.

That last part now means if you buy a car you need to have the extra 1% as cash on hand - you can't even roll it into a loan.  Personally, I think it's good fiscal responsibility to borrow less (none if possible - unless you get an insanely good rate), but I can see this hurting people who are pushing the limits and can no longer roll the extra tax into the loan.

Also, I don't recall paying a VA sales tax on a vehicle purchased outside of the state.  The annual property tax would apply as always, but I don't remember an extra sales tax.  Again from the WAPO article, this new sales tax of 1% for NOVA residents (from last year's transportation monstrosity)  will be tacked on to your purchase no matter where you buy the car.   Hmmmmmmm.....



Sales Tax On Out-Of-State Purchases Are Now Collected at DMV (HisRoc - 1/22/2008 8:17:22 PM)
If you purchase a car out of state, when you go to register it at DMV you must show that you have already paid sales tax equal to the Virginia tax or else pay the difference.


Toll Booth Needed at the Rappahanock River (HisRoc - 1/22/2008 6:52:55 PM)
I'm going to resurrect an tongue-in-cheek suggestion I made a few weeks ago.  Perhaps we should have a toll plaza on I-95 at the Rappahanock River bridge.  You know, where the Virginia Welcoming Center is located since you're not really in Virginia until you get down there?

Any north-bound car without a NoVa registration would be charged $25.



Anti Albo Robocall (afausser - 1/22/2008 8:15:40 PM)
FCDC has a robodial going out about Albo and his new abuser fees bill.