Motor vehicle registration tax modified, registration tax rebate provided, and money appropriated.

This bill modifies how Minnesota calculates registration taxes for passenger automobiles and hearses, directly affecting vehicle owners and dealers. It establishes a new tax rate of 1.575 percent based on the manufacturer's suggested retail price for vehicles registered on or after November 16, 2020, while maintaining a slightly lower rate for older registrations. The legislation introduces a tiered tax devaluation schedule that reduces the taxable value of a vehicle by a specific percentage each year it remains in use, with the reduction amount varying depending on the vehicle's price range. Additionally, the bill clarifies that the tax calculation excludes the cost of optional accessories and destination charges, except for pre-2020 registrations.