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

Plain English Breakdown

The official source does not specify the exact amount by which the $65,000 threshold will be increased.

Raising the Price Limit for Higher Car Taxes

This act increases the sales price threshold for motor vehicles subject to a higher tax rate above $65,000 and adjusts this limit based on inflation.

What This Bill Does

• Increases the sales price threshold for motor vehicles to more than $65,000.
• Adjusts the sales price threshold each year to match changes in inflation.

Who It Names or Affects

• People who buy or sell motor vehicles priced over $65,000.
• State and local governments collecting taxes on these vehicle sales.

Terms To Know

Sales Tax

A tax charged by the government when a product is sold.

Inflation

The increase in prices and fall in the purchasing value of money over time.

Limits and Unknowns

• Does not specify how much higher than $65,000 the threshold will be.
• Does not provide details on how inflation adjustments will be calculated or applied.

Official Summary Text

To (1) increase to more than sixty-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) index the sales price to reflect the rate of inflation.

Current Bill Text

LCO No. 314 1 of 1

General Assembly Proposed Bill No. 57
February Session, 2026 LCO No. 314

Referred to Committee on FINANCE, REVENUE AND
BONDING

Introduced by:
SEN. SOMERS, 18th Dist.

AN ACT CONCERNING THE SALES PRICE THRESHOLD OF MOTOR
VEHICLES SUBJECT TO A HIGHER SALES AND USE TAXES RATE.
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 sixty -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) index the sales price to reflect the rate of inflation. 4
Statement of Purpose:
To (1) increase to more than sixty -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) index the sales price to reflect the
rate of inflation.