61-3-501. When vehicle taxes and fees are due. (1) Light vehicle registration fees, local option vehicle taxes or fees, fees in lieu of tax, and other fees must be paid on the date of registration or reregistration of the vehicle.
     (2) (a) If the anniversary date for reregistration of a vehicle passes while the vehicle is owned and held for sale by a licensed new or used car dealer, light vehicle registration fees, local option vehicle taxes or fees, or fees in lieu of tax abate on the vehicle properly reported with the county treasurer until the vehicle is the subject of a retail sale. After the sale, the purchaser shall pay the pro rata balance of the light vehicle registration fees, local option vehicle taxes or fees, or fees in lieu of tax due and owing on the vehicle.
     (b) A person selling a vehicle or trading a vehicle to a dealer shall disclose to the purchaser any amount of taxes or fees in lieu of tax that are due or past due on the vehicle at the time the person sells a vehicle or trades a vehicle to a dealer. If the disclosure is not made, the person selling the vehicle or trading the vehicle to the dealer shall pay the taxes or fees. Taxes or fees in lieu of tax that are due or past due on a vehicle at the time that a person sells or trades the vehicle to a dealer must be paid by the person who sold or traded the vehicle to the dealer, unless the person who purchases the vehicle from the dealer agrees in writing to assume the payment of those taxes or fees. This subsection (2)(b) does not apply to fleet vehicles, leased vehicles, or rental return vehicles.
     (c) For the purposes of this subsection (2), a retail sale does not include a transfer between any of the following:
     (i) a licensed new motor vehicle or used motor vehicle dealer;
     (ii) another licensed new motor vehicle or used motor vehicle dealer;
     (iii) a licensed wholesaler; or
     (iv) a licensed auto auction.
     (3) In the event that a vehicle's registration period is changed under 61-3-315, all light vehicle registration fees, local option vehicle taxes or fees, fees in lieu of tax, and other fees due must be prorated and paid from the last day of the old period until the first day of the new period in which the vehicle is registered. The light vehicle registration fees, local option vehicle taxes or fees, fees in lieu of tax, and other fees must be paid from the first day of the new period for a minimum period of 1 year. When the change is to a later registration period, light vehicle registration fees, local option vehicle taxes or fees, and other fees must be prorated and paid based on the same tax year as the original registration period. Thereafter, during the appropriate anniversary registration period, each vehicle must again be registered or reregistered and all light vehicle registration fees, local option vehicle taxes or fees, and other fees must be paid for a 12-month period.

     History: (1), (2)En. 53-159 by Sec. 6, Ch. 74, L. 1975; Sec. 53-159, R.C.M. 1947; (3)En. 53-161 by Sec. 8, Ch. 74, L. 1975; amd. Sec. 2, Ch. 183, L. 1977; Sec. 53-161, R.C.M. 1947; R.C.M. 1947, 53-159, 53-161; amd. Sec. 12, Ch. 712, L. 1979; amd. Sec. 29, Ch. 614, L. 1981; amd. Sec. 22, Ch. 516, L. 1985; amd. Sec. 24, Ch. 611, L. 1987; amd. Sec. 22, Ch. 496, L. 1997; amd. Sec. 17, Ch. 409, L. 1999; amd. Sec. 13, Ch. 191, L. 2001; amd. Sec. 1, Ch. 261, L. 2001.