WANADA and DC DMV work through dealers questions with the new Title Tax Calculator rolling out next week, April 1

WANADA and DC DMV work through dealers questions with the new Title Tax Calculator rolling out next week, April 1

With DC DMV launching its new Vehicle Title Tax Calculator next Wednesday, April 1, 2015, agency administrators working with dealer title processors through WANADA have sorted out the questions that arose when the project was first announced earlier in the year. Reiterating and broadening the clarification dealers processing DC title work need in order to comply with DMVês new approach, here is how it will work:

1) Effective on and after April 1, Washington area dealers must use the Title Tax Calculator as the basis for computing excise tax on the sale of vehicles to DC residents.

2) DC DMVês Tax Calculator is based upon the NADA Used Car Guide for the Eastern U.S. and must be utilized on all vehicle sales, new and used.

3) Only when a vehicle value is not available in the Title Tax Calculator may the dealer compute the tax based upon the actual sale price. This includes when the Calculator is down or otherwise not functioning. In such situations, the dealer must print off a report from the calculator that the value sought is not available and send a copy along with the rest of the tag and title work to DC DMV. A copy of the report should also go in the customer deal jacket.

4) A downloaded screen copy of the Title Tax Calculator value that is available must accompany the tag and title work to DC with another copy filed in the customer deal jacket.

5) Dealers need only input the VIN, vehicle model and odometer reading in the Title Tax Calculator, not the condition of the vehicle since the Calculator through the NADA Guide utilizes a –one condition fits all” approach.

6) The date of the transaction on the vehicle between the dealer and consumer is the date dealers will use on the Title Tax Calculator.

Access the DC Title Tax Calculator as follows: https://public.dmv.washingtondc.gov/BusinessPages/VR/ExciseTax/VehicleSearch.aspx.

Anyone with questions about the DC Title Tax Calculator should contact their DMV representative, or Joe Koch at WANADA, 202-237-7200, jk@wanada.org. WANADA will continue to utilize the dealer title administrator task force it has established along with the good offices of NADAês Used Car Guide, which have been very helpful.

DC DMV says it will publish a FAQ paper on the Title Tax Calculator soon.

Download Bulletin PDF