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Kentucky motor vehicle bill

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The Kentucky Motor Vehicle Bill of Sale is a legal document that outlines the transfer of ownership of a motor vehicle between a buyer and a seller. It includes details such as the parties involved, payment method (cash, trade-in, or gift), vehicle description, odometer disclosure, and terms of sale. The document also requires signatures from both parties and witnesses, along with a notary acknowledgment to validate the transaction.

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Why are car taxes so high in Kentucky?

Due to rising used car values during the pandemic, property taxes on vehicles in Kentucky will be much, much higher this year, local and state officials warn. The state uses a standard valuation to set the value of vehicles.

What is ad valorem tax on a car?

Ad Valorem taxes are based on the assessed value of items such as personal property or real estate. The most common ad valorem tax is for things such as car registration fees. In most states your registration fees will be based on either your vehicles value or the weight of the vehicle.

What is the new vehicle tax in Kentucky?

A motor vehicle usage tax of six percent (6%) is levied upon the retail price of vehicles registered for the first time in Kentucky.

How much is KY motor vehicle property tax?

Non-historic motor vehicles are subject to full state and local taxation in Kentucky. Historic motor vehicles are subject to state taxation only. The state tax rate for non-historic vehicles is 45 cents per $100 of value. The state tax rate for historic motor vehicles is 25 cents per $100 of value.

Does Kentucky require a bill of sale for a car?

Having a Kentucky motor vehicle bill of sale isnt legally required in the state of Kentucky. However, we highly recommend you create one as it protects both parties during the transfer of ownership.

How to calculate KY car tax?

A 6% motor vehicle usage tax is levied upon the retail price of vehicles transferred in Kentucky. On used vehicles, the usage tax is 6% of the current average retail as listed in the NDA Used Car Guide or 6% of the total consideration paid.

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