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HF5138 • 2026

All-electric vehicle and plug-in hybrid electric vehicle surcharge modified.

All-electric vehicle and plug-in hybrid electric vehicle surcharge modified.

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Rehm, Kraft
Last action
2026-05-13
Official status
Author added Kraft
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.

All-electric vehicle and plug-in hybrid electric vehicle surcharge modified.

All-electric vehicle and plug-in hybrid electric vehicle surcharge modified.

What This Bill Does

  • All-electric vehicle and plug-in hybrid electric vehicle surcharge modified.

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.

Bill History

  1. 2026-05-13 House

    Author added Kraft

  2. 2026-05-12 House

    Introduction and first reading, referred to Transportation Finance and Policy

Official Summary Text

All-electric vehicle and plug-in hybrid electric vehicle surcharge modified.

Current Bill Text

Read the full stored bill text
A bill for an act

relating to transportation; modifying surcharges for all-electric vehicles and plug-in

hybrid electric vehicles; amending Minnesota Statutes 2025 Supplement, section

168.013, subdivision 1m; repealing Minnesota Statutes 2025 Supplement, section

168.013, subdivision 1n.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2025 Supplement, section 168.013, subdivision 1m, is

amended to read:

Subd. 1m.

Electric vehicle.

(a) A surcharge
deleted text begin
as provided in paragraph (b) or (c)
deleted text end
new text begin
of $75
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is imposed for an all-electric vehicle, as defined in section
169.011, subdivision 1a
. The

surcharge is in addition to the tax under subdivision 1a.

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(b) The surcharge is calculated as the greater of the minimum amount specified in

paragraph (c) or:

deleted text end

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(1) 0.5 percent of the manufacturer's suggested retail price, as determined under

subdivision 1a, paragraph (c); multiplied by

deleted text end

deleted text begin

(2) the percentage specified under subdivision 1a, paragraph (e), clauses (1) to (10), for

the vehicle's year of life, or ten percent for a vehicle in its 11th and each succeeding year

of life.

deleted text end

deleted text begin

(c) The minimum amount is:

deleted text end

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(1) $150 for a registration period beginning on or after January 1, 2026, and on or before

June 30, 2027; or

deleted text end

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(2) $100 for a registration period beginning on or after July 1, 2027.

deleted text end

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(d)
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(b)
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Notwithstanding subdivision 8, revenue collected under this subdivision must be

deposited in the highway user tax distribution fund.

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EFFECTIVE DATE.

new text end

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This section is effective the day following final enactment and

applies to taxes payable for a registration period starting on or after January 1, 2027.

new text end

Sec. 2.
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REPEALER.
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new text begin

Minnesota Statutes 2025 Supplement, section 168.013, subdivision 1n,

new text end

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is repealed.

new text end

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EFFECTIVE DATE.

new text end

new text begin

This section is effective the day following final enactment and

applies to taxes payable for a registration period starting on or after January 1, 2027.

new text end

APPENDIX

Repealed Minnesota Statutes: 26-08598

168.013 VEHICLE REGISTRATION TAXES.

Subd. 1n.

Plug-in hybrid electric vehicle.

(a) A surcharge as provided in paragraph (b) or (c) is imposed for a plug-in hybrid electric vehicle, as defined in section
169.011
, subdivision 54a. The surcharge is in addition to the tax under subdivision 1a.

(b) The surcharge is calculated as the greater of the minimum amount specified under paragraph (c) or:

(1) 0.25 percent of the manufacturer's suggested retail price, as determined under subdivision 1a, paragraph (c); multiplied by

(2) the percentage specified under subdivision 1a, paragraph (e), clauses (1) to (10), for the vehicle's year of life, or ten percent for a vehicle in its 11th and each succeeding year of life.

(c) The minimum amount is:

(1) $75 for a registration period beginning on or after January 1, 2026, and on or before June 30, 2027; or

(2) $50 for a registration period beginning on or after July 1, 2027.

(d) Notwithstanding subdivision 8, revenue collected under this subdivision must be deposited in the highway user tax distribution fund.