An Act relative to sales tax reimbursement

This bill (HD 1956) changes how sales tax is calculated when Massachusetts residents replace a stolen vehicle. It treats insurance payments for unrecovered stolen vehicles as trade-in credits, meaning sales tax is only applied to the difference between the new vehicle's price and the insurance payment amount (not the full price). To qualify, the original vehicle must be reported stolen to police and unrecovered, and the insured must provide the seller with insurance documentation confirming the payment was for a stolen vehicle. The bill directly affects car owners replacing vehicles stolen without recovery, reducing their sales tax burden by excluding the insurance portion from taxable value. This is a concrete policy change to the tax code, not a procedural measure.