Car registration

[davebarnes]

Originally Posted by denverian

I don't have it on me to do so, but why does it go down every year then?

Tax did NOT increase.
A FEE increased.

[reed303]

Originally Posted by denverian

I don't have it on me to do so, but why does it go down every year then?

The one portion of your total bill that is called the "Specific Ownership Tax" normally does decrease in 5 steps over the first 9 model years. In the 10th year it becomes a flat $3.00.
They take the MSRP, take 85% of that, apply a 2.10% to 0.45% factor to arrive at the S.O. Tax.

See Table 2 on page 3 of this CO State webpage for details:
http://www.colorado.gov/cs/Satellite...&ssbinary=true

BTW, this portion (only) of the bill can be taken as an itemized deduction on Schedule A of an IRS 1040, as it is a tax on the value of personal property. All other parts of the bill are non-deductible fees.

[denverian]

Originally Posted by reed303

The one portion of your total bill that is called the "Specific Ownership Tax" normally does decrease in 5 steps over the first 9 model years. In the 10th year it becomes a flat $3.00.
They take the MSRP, take 85% of that, apply a 2.10% to 0.45% factor to arrive at the S.O. Tax.

See Table 2 on page 3 of this CO State webpage for details:
http://www.colorado.gov/cs/Satellite...&ssbinary=true

BTW, this portion (only) of the bill can be taken as an itemized deduction on Schedule A of an IRS 1040, as it is a tax on the value of personal property. All other parts of the bill are non-deductible fees.

Thanks for the explanation