Personal Property Tax Information for Leased Vehicles
Leased vehicles qualify for tax relief if:
- they are leased by a natural person
- they are used for nonbusiness purposes, and
- the lessee has paid the personal property tax on the vehicle.
Other criteria may also be used to determine qualifying vehicles.
Reporting Information to DMV
Vehicles used for non-business purposes that are leased by a natural person under a contract requiring the lessee to pay the personal property tax qualify for tax relief under PPTRA. Since 7/15/98, leasing companies have reported to the Department of Motor vehicles (DMV) current leasing contracts for qualified vehicles. Leasing companies are required to send DMV monthly reports by locality, showing all modifications, additions, and deletions to previous reports as of the last day of the preceding month. DMV, in turn, forwards these reports to the localities to assist them with determining which vehicles qualify for car tax relief.
The qualified vehicle records provided by leasing companies are added to a database maintained by DMV. The database allows DMV to accept qualified vehicle information from leasing companies via e-mail, diskette, zip disk, or paper. In addition, DMV may provide monthly reports to localities via e-mail, diskette, zip disk or paper. Leasing companies should use the following record layout for all PPTRA records submitted to DMV electronically.
|NUMBER||6||Long Integer yyyymm|
|TRANSACTIONTYPE||TEXT||1||A = Add, M = Modify, D = Delete|
|TEXT||12||Lessee's SSN/FIN number|
|TEXT||4||DMV'S 4-DIGIT LOCALITY CODE|
|LESSEESSN_FIN||TEXT||12||Lessee's SSN/FIN number|
|BEGINDATE||DATE/TIME||10||mmddyy Begin date of leasing contract.|
|ENDDATE||DATE/TIME||10||mmddyy End date of leasing contract.|
|PREVIOUSLOCATION||TEXT||4||Jurisdiction Code, ie, FFAX for Fairfax County|
|COLESSEESSN_FIN||TEXT||12||Only if vehicle is co-leased.|
|COLESSEELASTNAME||TEXT||35||Only if vehicle is co-leased.|
|COLESSEEFIRSTNAME||TEXT||20||Only if vehicle is co-leased.|
|COLESSEEMIDDLEINITIAL||TEXT||1||Only if vehicle is co-leased.|
Note: Fields within records should not be concatenated.