FIRSTREGULARSESSION
HOUSECOMMITTEESUBSTITUTEFOR
HOUSEBILLNO.708
103RDGENERALASSEMBLY
1328H.02C JOSEPHENGLER,ChiefClerk
ANACT
Toamendchapter139,RSMo,byaddingtheretoonenewsectionrelatingtoatotaledmotor
vehiclepropertytaxprorationprogram.
BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows:
SectionA.Chapter139,RSMo,isamendedbyaddingtheretoonenewsection,tobe
2knownassection139.035,toreadasfollows:
139.035.1.Asusedinthissection,thefollowingtermsmean:
2 (1)"Motorvehicle",thesamemeaningassuchtermisdefinedundersection
3301.010;
4 (2)"Taxingentity",anycountyorcitynotwithinacountywithinthisstatethat
5leviesandcollectspersonalpropertytaxesonmotorvehicles;
6 (3)"Taxpayer",anindividualorabusinessentitysubjecttopersonalproperty
7taxonthetotaledmotorvehicle;
8 (4)"Totaledmotorvehicle",amotorvehicleconsideredtobeatotallossdueto
9damagethatissoseverethatitcannotberepairedsafely,thetotalcostofrepairor
10salvageequalsorexceedsthevehicle'sactualcashvalue,orafindingbyaninsurance
11companydeclaringthemotorvehicletobetotalloss.Theterm"totaledmotorvehicle"
12includesmotorcyclesownedbyindividualtaxpayersandmotorvehiclesprimarilyfor
13businessuse,assuchtermisdefinedundersection301.010,ownedbyabusiness
14taxpayer;
15 (5)"Totaledmotorvehiclepersonalpropertytaxprorationprogram",a
16programestablishedundertheprovisionsofthissection.
17 2.Anytaxingentitymayestablishatotaledmotorvehiclepersonalpropertytax
18prorationprograminaccordancewiththissectionthatallowsataxpayerqualifying
EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis
intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 19undertheprovisionsofthissectionandanyadditionalrequirementsestablishedbythe
20taxingentitytoreceiveaproratedpropertytaxcreditduringthetaxyeartoreducethe
21totalpersonalpropertytaxowedonatotaledmotorvehicleandtobeclaimedagainst
22theamountofpersonalpropertytaxdueandowingattheendofthesametaxyearby
23suchtaxpayer.
24 3.Theproratedpropertytaxcreditamountshallapplytothetotalofall
25personalpropertytaxesdueandowingonthetotaledmotorvehicle,andshallreduceall
26taxesbyanequallydistributedprorataamount.
27 4.Theproratedpropertytaxcredit,whichshallbeproratedonamonthlybasis,
28istobedeterminedbyaratio,thenumeratorofwhichshallbethenumberoffull
29monthsfromthedateofdispositionofthetotaledmotorvehiclecontinuingthroughthe
30closeofthetaxyear,andthedenominatorofwhichshallbetwelve.Theprorated
31propertytaxcreditisnonrefundablebutmayreduceataxpayer'sliabilitydowntozero.
32 5.Ataxpayermayapplyforsuchprogramif:
33 (1)Suchtaxpayer'stotaledmotorvehiclewasowned,registered,andtitled
34underthetaxpayer'sname,orinthecaseofabusinesstaxpayer,thenameofthe
35business,authorizedagent,orotherverifiableentityassociatedwiththebusiness
36taxpayer,asofJanuaryfirstofthetaxyearinwhichthemotorvehiclewastotaledand
37atthetimeoftheincidentthattotaledthetaxpayer'smotorvehicleinthesametaxyear;
38 (2)Thetotaledmotorvehiclewasincludedonthelocaltaxingentity'staxrollfor
39thetaxyearinwhichthemotorvehiclewastotaledandsuchtaxpayerisliableforthe
40paymentofpersonalpropertytaxesonthetotaledmotorvehicleforsuchtaxyear;
41 (3)Suchtaxpayerwas,asofthedateofapplication,up-to-dateonallstateand
42localtaxesandfeesowedonsuchtotaledmotorvehicle;and
43 (4)Asofthedateofapplicationforparticipationintheprogram,thetitleonthe
44totaledmotorvehiclehasbeentransferredtotheinsurancecompanyorotherentitydue
45tothetotalednatureofthevehicleandisnolongertitledorregisteredtothetaxpayer
46norinthetaxpayer'spossession.
47 6.Ifataxpayerparticipatinginaprogramestablishedunderthissection
48purchasesareplacementvehicleduringthesametaxyearthatthetaxpayer'smotor
49vehiclewastotaledandheorshereceivedaproratedpropertytaxcreditforsuch
50totaledmotorvehicle,suchreplacementvehicleshallnotbeincludedinthetaxrollsfor
51thattaxyeartooffsetthepropertytaxliability.Taxationofsuchreplacementvehicle
52shallfollowthestatutoryassessmentstandardsasprovidedbygenerallawandthe
53applicabletaxingentityifsuchreplacementvehicleisownedbysuchtaxpayerasof
54Januaryfirstofthefollowingtaxyear.
HCSHB708 2 55 7.Ifataxpayerparticipatinginaprogramestablishedunderthissection
56repurchasesthesametotaledmotorvehiclefromtheinsurancecompanyorotherentity
57bywayofasalvagecertificateoftitle,asthattermisdefinedinsection301.217,andthe
58taxpayeroperatesormaintainsthesalvagedmotorvehicleinhisorherpossession,
59taxationofsuchsalvagedmotorvehicleshallfollowthestatutoryassessmentstandards
60asprovidedbygenerallaw.Suchsalvagedmotorvehicleshallnotbenefitfromthe
61proratedpropertytaxcreditestablishedinthissection.
62 8.Atotaledmotorvehiclepersonalpropertytaxprorationprogramshallbe
63createdupontheadoptionofanordinancebythegoverningbodyofsuchtaxingentity.
64Suchordinanceshallbeinaccordancewiththeprovisionsofthissectionandshall
65include,butnotbelimitedto,thefollowing:
66 (1)Proceduresanddeadlinesforapplicationandparticipationinsuchprogram
67andanyrequireddocumentationtosufficientlyproveeligibilitynecessaryforsuch
68program,suchasdocumentsascertainingproofofthetotaledmotorvehicle'stotalloss
69value,copiesofvaluationreports,insurancetotallossdocumentationortotallossletter,
70verificationofthetransferoftitleofthetotaledmotorvehicle,signedcopyoftitle,
71certifiedletteroftransfer,orothersuchdocumentationnecessarytosubstantiatethe
72taxpayer'seligibility;
73 (2)Proceduresforverificationandrecordkeepingoftheproratedpropertytax
74creditamountandthetotalamountbywhichthepersonalpropertytaxowedhasbeen
75modifiedforeachtaxpayerparticipatingintheprogram;
76 (3)Creationofaformfortaxpayersparticipatingintheprogramthatmaybe
77submittedinperson,bymail,orelectronicallyonataxingentity'swebsite;
78 (4)Proceduresforthecreditingoftheamountofataxpayer'sproratedproperty
79taxcredittowardsuchtaxpayer'spersonalpropertytaxes;and
80 (5)Anyotherprovisionsthatsuchtaxingentitydeemsreasonableandnecessary
81fortheimplementationandoperationofsuchprogram.
82 9.Ataxingentitymaybyordinancepromulgaterules,establishprocedures,and
83provideadditionalstandardsofeligibilityforaprogramadoptedunderthissection.
84 10.Anytaxingentitythatestablishesatotaledmotorvehiclepersonalproperty
85taxprorationprogramundertheprovisionsofthissectionshallmakeinformation
86regardingsuchprogramavailabletothetaxpayersofthetaxingentity.
87 11.Participationinthisprogramandprorationofpersonalpropertytaxes
88receivedundersuchprogrambyanyqualifiedtaxpayerasaproratedpropertytax
89credittowardanyportionofsuchtaxpayer'spersonalpropertytaxesshallnotaffectthe
HCSHB708 3 90taxpayer'srighttoprotesttheamountofsuchtaxpaymentsunderapplicableprovisions
91oflaw.
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HCSHB708 4