Special Mobile Machinery Registration Exemption

The act allows an owner of special mobile machinery who regularly rents or leases the special mobile machinery and who pays specific ownership tax on a monthly basis in an amount equal to 2% of the rental or lease payments for the special mobile machinery to apply to the department of revenue for a registration exempt certificate. The department shall issue the certificate if:

• The department verifies that the owner regularly has 1,000 or more items of such special mobile machinery in the state;
• Each item of such special mobile machinery is clearly marked or painted in a manner that identifies it as being owned by the owner;
• Each item of such special mobile machinery bears a visible and readily identifiable unique identification number assigned by the owner; and
• Each item of such special mobile machinery bears a visible toll-free telephone number for the owner that can be used for verification of ownership.

The owner of any item of special mobile machinery that is covered by a registration exempt certificate is required to pay, at the time during each calendar year in which specific ownership tax is first paid for the item, all fees and surcharges that would otherwise be paid at the time of registration; except that the owner is not required to pay any fee imposed for the purpose of covering the direct costs of license plates, decals, or validating tabs or the direct costs incurred by an authorized agent of the department of revenue in registering or issuing license plates, decals, or validating tabs for the item.

(Note: This summary applies to this bill as enacted.)