Springfield car dealerships see no change in temp tags a year after change slated to take effect

Published: Jul. 11, 2022 at 4:16 PM CDT
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SPRINGFIELD, Mo. (KY3) - A year after a new Missouri vehicle sales tax law was supposed to take effect, local car dealerships say they have still been left in the dark.

The law signed off on by Gov. Mike Parson would require taxes to be paid and license plates to be issued at the point of sale at the dealership. This would eliminate temporary tags and allow people to roll those taxes into their financing.

But local car dealerships are still issuing temporary tags requiring those purchasing a car to pay taxes at the DMV within thirty days.

“We were surprised that it didn’t happen,” Kyle Orr, a pre-owned sales director with Reliable Chevrolet of Springfield said. He thought they’d see some sort of rollout after the law took effect on August 28, 2021.

Any changes aren’t likely to happen anytime soon either.

“The Missouri Department of Revenue, Motor Vehicle Division is in the process of evaluating bids from companies for the new computer system they will need in order to title and register vehicles, and collect sales tax at the point of sale, i.e. the automobile dealership,” said Doug Smith, head of the Missouri Automobile Dealers Association.

He adds that it’s not a quick fix.

“Once a vendor/contractor has been selected, they will begin phasing out a very old DOS based computer system that DOR MV uses now, and begin phasing in a new one, but that process to complete the new viable, one stop system, could take anywhere and up to 4-6 years,” Smith said.

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