In lieu tax imposed on older passenger automobiles and collector vehicles expanded to motorcycles.

HF 964 expands an existing tax provision to include motorcycles under Minnesota's "in lieu tax" system, which replaces the standard sales tax for certain older or collector vehicles. Specifically, it requires buyers of older motorcycles (in their 10th year or later with a resale value under $3,000) to pay a $10 flat tax, while collector motorcycles (registered under specific classifications) face a $150 flat tax instead of the regular sales tax. This change directly affects motorcycle purchasers meeting these criteria, shifting their tax burden from the standard sales tax to these fixed amounts. The law takes effect for sales and purchases after June 30, 2025.