Motor Vehicle Excise

The tax rate for motor vehicles is $25.00 per $1,000 of value

The valuation is based on a percentage of the MSRP as show below:

  • 50% in the year preceding the designated year of manufacture
  • 90% in the year of manufacture
  • 60% in the second year
  • 40% in the third year
  • 25% in the fourth year
  • 10% in the fifth and succeeding years

Motor Vehicle Excise can be abated in the following cases:

  • The vehicle is sold, traded, junked, totaled or otherwise disposed AND the plates transferred to another vehicle or canceled.
  • The vehicle is reregistered in  another state, and the Massachusetts registration is canceled.
  • The vehicle is overvalued.
  • Incorrect place of garaging. (Garaging is determined as of January 1st)

Appropriate proof must be provided in order to process the abatement.

Abatements are determined by prorating by month.  For example, if vehicle is abated in October, then the abatement will be for 2/12 of the total excise tax.

The minimum motor vehicle excise tax bill is $5.00.