Calculating Motor Vehicle Excise Taxes

Motor vehicle excise is taxed on the calendar year. It is an assessment in lieu of a personal property tax. The excise due is calculated by multiplying the value of the vehicle by the motor vehicle tax rate. The tax rate is fixed at $25 per one thousand dollars of value. The value of a vehicle is determined as a percentage of the manufacturer's suggested retail price for that vehicle based on the year of manufacture.

Applicable Percentage from M.G.L. 60A§1 % of MSRP
Year preceding year of manufacture (i.e. - 2005 model in 2004) 50
Year of manufacture 90
2nd year 60
3rd year 40
4th year 25
5th and succeeding years 10

Preceding model year (2005 model in 2004) ► $30,000 x 50% = $15,000 x .025 = $375