123rd MAINE LEGISLATURE
		LD 79		LR 622(01)
	An Act To Repeal the Excise Tax on New Motor Vehicles
	Fiscal Note for Original Bill
	Sponsor: Rep. McDonough of Scarborough
	Committee: Taxation
	Fiscal Note Required: Yes
Fiscal Note
Current biennium cost increase - General Fund Current biennium revenue decrease - General Fund Current biennium revenue decrease - Highway Fund
Fiscal Detail and Notes
	Repealing the excise tax on new motor vehicles will result in a loss of General Fund and Highway Fund revenue and will result in additional costs to reimburse municipalities for 50% of the loss of local revenue.  The General Fund revenue loss is approximately $600,000 per year and the Highway Fund revenue loss is approximately $3,100,000 per year.  The General Fund cost to reimburse municipalities for 50% is expected to be in the $20,000,000 to $25,000,000 range.