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Transportation Cabinet
New law creates third weight class for farm vehicles
To ensure Kentucky farmers not improperly taxed in other states
FRANKFORT, Ky. (July 25, 2011) – A new state law creates a third weight class for registered farm vehicles to ensure that Kentucky farmers are not improperly ticketed and taxed when operating their farm vehicles in other states.
The new law took effect on March 16, 2011, when Gov. Steve Beshear signed Senate Bill 79, sponsored by Sens. Joey Pendleton, Dennis Parrett and Mike Wilson.
At issue is the International Fuel Tax Agreement (IFTA), which applies to vehicles of certain designs and characteristics, including a gross vehicle weight or registered weight “exceeding 26,000 pounds.”
Kentucky exempts registered farm vehicles from IFTA taxes. But because Kentucky had just two farm vehicle weight classes for registration purposes – the lesser being zero to 38,000 pounds – some other states deemed any Kentucky registered farm vehicle to be at least 38,000 pounds and thus subject to IFTA taxation when being operated within their borders.
“Agriculture is ingrained in the very fabric of our shared heritage as Kentuckians,” Gov. Beshear said. “The intent of this new law is to protect the interests of our hard working Kentucky farm families.”
“Many Kentucky farmers have been improperly cited and even fined in other states because of an unrealistic weight classification,” said Sen. Pendleton, of Hopkinsville. “Our intention with Senate Bill 79 was to make absolutely clear which vehicles are subject to IFTA taxation and which are not.”
The new law created a weight classification of zero to 26,000 pounds. Other classifications are now 26,001 to 38,000 pounds and 38,001 to 80,000 pounds. Vehicles registered in the new weight class do not meet the IFTA definition of a “qualified motor vehicle” and thus are not subject to IFTA taxation in other states.
Owners of vehicles registered as zero to 38,000 pounds on or after March 16, 2011, but which actually were 26,000 pounds or less, can have their registration updated without an extra state fee. That is done at the county clerk office at which the vehicle was originally registered.
Also under SB 79, planting and harvesting season is deemed to be year-round for purposes of operating farm vehicles on highways, rather than from March 1 through Nov. 23, and farm equipment can be transported from dealership to dealership on an annual overweight/over-dimension permit, as opposed to needing individual trip permits.
The full text of SB 79 can be found at http://www.lrc.ky.gov/record/11RS/SB79.htm.
Eds. And broadcasters: Click here for a soundbite of Department of Vehicle Regulation Deputy Commissioner Rick Taylor explain why SB 79 was needed (:14 sec.).
Click here for a soundbite of Rick Taylor explaining what SB 79 addresses (:44 sec.).
Click here for a soundbite of Rick Taylor explaining how affected drivers may adjust their registration (:13 sec.).
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