Update on DC DMV Excise Tax Modifications

Dear Members,

As we mentioned in an update earlier this week, the DC DMV has updated their excise tax rates to comply with the CleanEnergy DC Omnibus Amendment Act of 2018, which fully took effect on Monday. As part of that update, which changes vehicle excise tax rates to incorporate both vehicle weight and city miles per gallon, D.C. residents can now claim their District Earned Income Tax Credit when titling their vehicles.

Dealers, as mentioned, are required to ask their D.C.-based customers if they are eligible for the EITC, and if they wish to claim it. The DC DMV added language today to their vehicle title fees info page noting that, for District residents wishing to claim the EITC in this process, "documentation from the Office of Tax and Revenue (OTR) will be required prior to vehicle titling." The responsibility is on the vehicle buyer to provide this information.

We'd also like to remind you that the city also has a helpful excise tax calculator tool, which helps you determine the excise tax rates of specific vehicles by providing the vehicle's VIN.

Please feel free to contact myself or Joe Koch (jk@wanada.org) if you have any questions.

Sincerely,

John O'Donnell
WANADA President and CEO