Section 3 Vehicles Subject to Tax

• Library: Tax Law 2009

The collection of sales and use tax on motor vehicles is treated differently from the collection of tax on other forms of personal property. The purchaser of a motor vehicle pays the tax incurred directly to the Department of Revenue (MoDOR) at the time of titling. Tax is not paid to the seller.

The importance of the classifications and definitions of vehicles treated in Chapter 301, RSMo, cannot be stressed enough. While all personal property, with certain exemptions, is subject to sales and use tax upon transfer, the definitions contain some inconsistencies. In addition, these definitions vary the method of...