ALBION — The Noble County Council voted 5-1 Monday to initiate a new minimum tax on passenger vehicles registered in Noble County.
Currently, Noble County residents have to pay a 10 percent surcharge on the amount they pay in state taxes when they register their vehicle. The minimum charge is $7.50.
People with older and lower-value vehicles pay less, while people with newer, more expensive cars pay more. For example, someone with a 10-year-old vehicle only pays the minimum of $7.50, while someone with a brand new vehicle that costs more than $42,500 is going to pay the maximum – $106.30.
The council voted to keep the 10 percent surcharge, but raised the minimum to $17.50.
The tax won’t affect people who are driving newer vehicles, they will still have to pay the state’s excise tax and an additional 10 percent in local taxes. But it will require those owning older models at the bottom of the excise tax rate to pay $10 more per year.
The council voted to leave the wheel tax on commercial vehicles at its current rate of $40 per vehicle.
The new tax will take effect with registrations that are renewed after Jan. 1, 2019.