Motor Vehicle Exemptions
Some transactions are exempt from Motor Vehicle Tax depending on who purchases the vehicle, as listed in the following table.
For these sales, you must keep Form PS2000, Application to Title/Register a Vehicle on file, showing the exemption code.
There are also limited exemptions for motor vehicles purchased by specific government agencies.
| 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: