Indiana RV excise tax

Indiana will impose an annual license excise tax on RVs, replacing the current ad valorem property tax levied for state or local purposes.

House Bill 1125 was introduced Jan. 8, 2008, and signed into law March 24. The RV excise tax portion of the bill, which takes effect Jan. 1, 2010, places RV owners on an excise tax scale similar to the one used for cars and trucks.

Under the current personal property tax-based system, the taxes on an RV can vary depending on the local tax rate and how local assessors value the RV. Subjecting RVs to an excise tax, instead, will allow RV shoppers to find out the annual tax on a new RV, before they decide to buy it.

The excise tax amount will be based on the value of the RV at the time it is first offered for sale in Indiana. The bureau of motor vehicles will determine the RV’s value — based on factory advertised delivered price, the port of entry price or other information — and then classify it accordingly.

The amount of tax imposed will be determined using the RV’s classification and age.

The excise tax is in addition to any registration fees imposed on RVs.