Back to Maine

LD305 • 2025

An Act Regarding the Motor Vehicle Excise Tax Exemption for Leased Automobiles for Certain Veterans

An Act Regarding the Motor Vehicle Excise Tax Exemption for Leased Automobiles for Certain Veterans

Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Representative Lydia Crafts
Last action
2026-03-19
Official status
Signed by the Governor (Emergency Measure)
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

An Act Regarding the Motor Vehicle Excise Tax Exemption for Leased Automobiles for Certain Veterans

An Act Regarding the Motor Vehicle Excise Tax Exemption for Leased Automobiles for Certain Veterans Sponsor: Representative Lydia Crafts Reference committee: Transportation Governor action: Signed by the Governor (Emergency Measure)

What This Bill Does

  • An Act Regarding the Motor Vehicle Excise Tax Exemption for Leased Automobiles for Certain Veterans Sponsor: Representative Lydia Crafts Reference committee: Transportation Governor action: Signed by the Governor (Emergency Measure)

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Adopted by House & Senate

Plain English: Page 1 - 132LR2057(02) COMMITTEE AMENDMENT 1 L.D.

  • Page 1 - 132LR2057(02) COMMITTEE AMENDMENT 1 L.D.
  • 305 2 Date: (Filing No.
  • H- ) 3TRANSPORTATION 4 Reproduced and distributed under the direction of the Clerk of the House.
  • 5STATE OF MAINE 6HOUSE OF REPRESENTATIVES 7132ND LEGISLATURE 8SECOND REGULAR SESSION 9 COMMITTEE AMENDMENT “ ” to H.P.

Bill History

  1. 2026-03-19 Governor

    Signed by the Governor (Emergency Measure)

  2. 2026-03-12 Senate

    PASSED TO BE ENACTED - Emergency - 2/3 Elected Required, in concurrence.

  3. 2026-03-10 House

    This being an emergency measure, a two-thirds vote of all the members elected to the House was necessary. PASSED TO BE ENACTED . Sent for concurrence. ORDERED SENT FORTHWITH.

  4. 2026-02-25 Committee

    Reported Out; OTP-AM

  5. 2026-02-03 Committee

    Work Session Held

  6. 2026-02-03 Committee

    Voted; OTP-AM

  7. 2025-06-25 Committee

    Carry Over Approved

  8. 2025-05-28 Committee

    Work Session Held; TABLED

  9. 2025-05-28 Committee

    Carry Over Requested

  10. 2025-01-30 Committee

    Referred to Committee on Transportation.

Official Summary Text

An Act Regarding the Motor Vehicle Excise Tax Exemption for Leased Automobiles for Certain Veterans
Sponsor:
Representative Lydia Crafts
Reference committee:
Transportation
Governor action:
Signed by the Governor (Emergency Measure)

Current Bill Text

Read the full stored bill text
Page 1 - 132LR2057(03)
STATE OF MAINE
_____
IN THE YEAR OF OUR LORD
TWO THOUSAND TWENTY-SIX
_____
H.P. 205 - L.D. 305
An Act Regarding the Motor Vehicle Excise Tax Exemption for Leased
Automobiles for Certain Veterans
Emergency preamble. Whereas, acts and resolves of the Legislature do not
become effective until 90 days after adjournment unless enacted as emergencies; and
Whereas, Public Law 2025, chapter 152 was enacted to prevent the misuse of the
motor vehicle excise tax exemption for certain disabled veterans; and
Whereas, through the process of implementing Public Law 2025, chapter 152, it was
uncovered that a significant group of disabled veterans lease, rather than own, their vehicles
and was excluded from the excise tax exemption, creating an inequity that was not
contemplated during legislative debate and runs counter to the spirit of the law; and
Whereas, leasing may be the most practical and affordable option for veterans living
on fixed incomes or disability compensation; and
Whereas, this legislation must go into effect as soon as possible to address this matter;
and
Whereas, in the judgment of the Legislature, these facts create an emergency within
the meaning of the Constitution of Maine and require the following legislation as
immediately necessary for the preservation of the public peace, health and safety; now,
therefore,
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 36 MRSA §1483, sub-§12, as amended by PL 2025, c. 152, §2, is further
amended to read:
12. Certain Automobiles owned by certain veterans. Automobiles owned by
veterans who are granted free registration of those vehicles by the Secretary of State under
Title 29‑A, section 523, subsection 1 or 2 or who are disabled by injury or disease incurred
or aggravated during active military service in the line of duty and are receiving any form
of pension or compensation from the United States Government for total, service-
connected disability. A maximum of 3 automobiles owned by a veteran are exempt from
the excise tax. In order for an automobile to qualify for an exemption from the excise tax
APPROVED
MARCH 19, 2026
BY GOVERNOR
CHAPTER
578
PUBLIC LAW
Page 2 - 132LR2057(03)
under this subsection, the name of the qualifying veteran must appear on the automobile's
certificate of title. If there are multiple owners of an automobile, at least one of the owners
whose name appears on the certificate of title must meet the requirements of this subsection
in order for the automobile to qualify for the exemption;
Sec. 2. 36 MRSA §1483, sub-§12-A is enacted to read:
12-A. Automobiles leased by certain veterans. Automobiles leased by veterans who
are disabled by injury or disease incurred or aggravated during active military service in
the line of duty and are receiving any form of pension or compensation from the United
States Government for total, service-connected disability. A maximum of 3 automobiles
leased by a veteran are exempt from the excise tax. In order for an automobile to qualify
for an exemption from the excise tax under this subsection, the name of the qualifying
veteran must appear on the automobile's lease agreement. If there are multiple lessees of
an automobile, at least one of the lessees whose name appears on the automobile's lease
agreement must meet the requirements of this subsection in order for the automobile to
qualify for the exemption.
Emergency clause. In view of the emergency cited in the preamble, this legislation
takes effect July 1, 2026.