AN ACT CONCERNING THE HIGHER SALES AND USE TAXES RATE APPLICABLE TO CERTAIN MOTOR VEHICLES.

Plain English Breakdown

The official source material does not provide specific details about the new threshold amount or the exact impact on state revenue, leaving these points as unknowns.

Raising Sales Tax Threshold for Cars

This act increases the price threshold for cars subject to a seven and three-fourths percent sales tax rate above seventy-five thousand dollars and exempts commercial vehicles from this higher tax rate.

What This Bill Does

• Increases the sales price threshold for motor vehicles subject to a seven and three-fourths percent sales and use taxes rate to more than seventy-five thousand dollars.
• Exempts commercial vehicles from being taxed at the higher rate.

Who It Names or Affects

• People buying cars that cost over seventy-five thousand dollars
• Businesses owning or purchasing commercial vehicles

Terms To Know

Sales and use taxes rate

The percentage of tax charged on the sale price of a product, like a car.

Commercial vehicle

A vehicle used for business purposes such as delivery trucks or vans.

Limits and Unknowns

• Does not specify exactly how much higher than seventy-five thousand dollars the new threshold will be.
• The exact impact on state revenue from these changes is unclear.

Official Summary Text

To (1) increase to more than seventy-five thousand dollars the sales price threshold for a motor vehicle subject to the seven and three-fourths per cent sales and use taxes rate, and (2) exempt commercial vehicles from the higher sales and use taxes rate.

Current Bill Text

LCO No. 295 1 of 1

General Assembly Proposed Bill No. 45
February Session, 2026 LCO No. 295

Referred to Committee on FINANCE, REVENUE AND
BONDING

Introduced by:
SEN. BERTHEL, 32nd Dist.

AN ACT CONCERNING THE HIGHER SALES AND USE TAXES RATE
APPLICABLE TO CERTAIN MOTOR VEHICLES.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

That chapter 219 of the general statutes be amended to (1) increase to 1
more than seventy-five thousand dollars the sales price threshold for a 2
motor vehicle subject to the seven and three -fourths per cent sales and 3
use taxes rate, and (2) exempt commercial vehicles from the higher sales 4
and use taxes rate. 5
Statement of Purpose:
To (1) increase to more than seventy -five thousand dollars the sales
price threshold for a motor vehicle subject to the seven and three-fourths
per cent sales and use taxes rate, and (2) exempt commercial vehicles
from the higher sales and use taxes rate.