AN ACT CONCERNING THE SALES PRICE THRESHOLD OF MOTOR VEHICLES SUBJECT TO A HIGHER SALES AND USE TAXES RATE.

HB 5265 raises the sales price threshold for motor vehicles subject to a higher 7.75% sales and use tax rate from its current level to over $100,000. This means vehicles priced at or above $100,000 will now be taxed at the higher rate, while less expensive vehicles remain subject to the standard rate. The bill directly affects buyers of luxury or high-end vehicles priced above this new threshold. It changes the tax structure by expanding the price range subject to the elevated rate without altering the tax percentage itself. The amendment applies to chapter 219 of the general statutes as proposed.