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Last Updated: 6/1/2017

Motor Vehicle Exemptions

Some transactions are exempt from Motor Vehicle tax depending on who purchases the vehicle, as listed in the table below. For these sales, you must keep on file Form PS2000, Application to Title/Register a Vehicle, showing the exemption code.

There are limited exemptions for motor vehicles purchased by specific government agencies, as listed in the table below.

Who is the purchaser?

They may buy the following vehicles exempt from Motor Vehicle Tax

Ambulance service

Ambulances sold or leased to an ambulance service (public or private) under M.S. 144E.10, Ambulance service licensing

Note: Exemption includes accessory items used to initially equip ambulances and repair and replacement parts for ambulances.

Metropolitan Council Transit

Buses (purchased or leased)

Municipal fire department

Fire trucks, pumper trucks, hook and ladder trucks, and clearly marked trailers

Note: Exemption includes items used to assemble or initially equip these vehicles or items that are permanently attached to them.

Police department

Marked police patrol vehicles

Note: Exemption includes accessory items used to initially equip the vehicle

Public or private transit operations

Vehicle used for transit services

Ready-mix producer

Ready-mix concrete trucks

Township

Snow plows, dump trucks, and other motor vehicles used only for road maintenance

Note: This exemption does not include automobiles, vans, or pickup trucks. This exemption does not apply to purchases by other local governments.

Volunteer fire department

Fire trucks, pumper trucks, hook and ladder trucks, trailers, or components to assemble these vehicles

Note: Exemption includes components to assemble these vehicles and accessories, replacement parts, and repair parts.

For more information, see:

< Other Government Exemptions   Miscellaneous Exemptions >
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