Colorado Vehicle Registration fees

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drmoneytails
Posts: 63
Joined: Fri Nov 25, 2016 1:43 pm

Colorado Vehicle Registration fees

Post by drmoneytails » Sat Jul 29, 2017 8:00 am

Hello all,

I recently relocated to Denver 4 weeks ago and yesterday my wife and I went to the DMV to register our cars in Colorado.
I am astounded by how steep the price was.

For the 2014 Mazda CX5, we paid 260 dollars for one year
For the 2017 Subaru Crosstrek, we paid 526 dollars

I am researching online to see whether there was some type of mistake but haven't found anything to ease my pain

Anyone familiar with this subject?? Is this normal?

WhyNotUs
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Joined: Sun Apr 14, 2013 11:38 am

Re: Colorado Vehicle Registration fees

Post by WhyNotUs » Sat Jul 29, 2017 8:13 am

Yes, sounds about right. It goes down over time. There are two parts to the registration- one is based on value of vehicle and the other is based on weight and age. It rewards cheap old cars :-)
I own the next hot stock- VTSAX

Iliketoridemybike
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Re: Colorado Vehicle Registration fees

Post by Iliketoridemybike » Sat Jul 29, 2017 8:18 am

The vehicle taxes are higher, but the property taxes are generally lower. I think it's a way for renters to pay their fair share.
Welcome to Colorado. Enjoy the resources we have here. It is a special state.

wilshuer
Posts: 142
Joined: Tue Dec 11, 2012 10:40 pm

Re: Colorado Vehicle Registration fees

Post by wilshuer » Sat Jul 29, 2017 8:31 am

Been awhile since I lived in Colorado but I believe there is a tax component to it, perhaps also when bringing the vehicle from out of state. When I moved from Colorado and registered in another state LA, I had to pay sales tax on the imported car, about $1500, even though I owned it for 3 years prior and paid tax in CO. Registration was $20 for two year terms from that point forward.

Now in Texas we pay sales tax up front when purchasing, and a lower registration rate, I believe about $60. Different states have different schemes to pry your money from you. You might check if your prior state has a discount for taxes paid once in CO. When we moved to LA it reduced the tax due by 2% or so.

dbltrbl
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Re: Colorado Vehicle Registration fees

Post by dbltrbl » Sat Jul 29, 2017 8:35 am

Registration has 2 parts. One is annual fee other is a tax based on the value of your car for that year. Newer the car higher the tax. That will go down. Many states have this.

The Wizard
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Re: Colorado Vehicle Registration fees

Post by The Wizard » Sat Jul 29, 2017 9:26 am

This ad valorum property tax on your vehicles is deductible on your 1040 schedule A...
Attempted new signature...

SimonJester
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Re: Colorado Vehicle Registration fees

Post by SimonJester » Sat Jul 29, 2017 9:32 am

My 13 year old minivan is taxes at $3.00 on its value (as other pointed out the tax based on value goes down every year). They they add another $112.00 in various fees. Now the state claims these fees are not a "tax" and thus you can only deduct the $3.00 from your federal income tax :( boo hooo
"They who can give up essential liberty to obtain a little temporary safety, deserve neither liberty nor safety." - Benjamin Franklin

snowman
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Re: Colorado Vehicle Registration fees

Post by snowman » Sat Jul 29, 2017 9:54 am

Welcome to Colorado! Yes, this is normal. It will go down every year. Eventually, if you keep the car long enough, it will bottom out at about $80 per year; higher for heavier vehicles.

If you decide to buy a new SUV, be prepared for the registration fee shock; better yet find out ahead of time so you know exactly how much it's going to cost you overall.

As others have said, it is a small price to pay to live in this special state. If you love the outdoors, you will love living here. Take good care of your vehicles so they last you a long time - you can then spend saved registration fees on annual ski passes instead, for example.

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Epsilon Delta
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Re: Colorado Vehicle Registration fees

Post by Epsilon Delta » Sat Jul 29, 2017 10:40 am

SimonJester wrote:My 13 year old minivan is taxes at $3.00 on its value (as other pointed out the tax based on value goes down every year). They they add another $112.00 in various fees. Now the state claims these fees are not a "tax" and thus you can only deduct the $3.00 from your federal income tax :( boo hooo
Federal deductibility is federal law not state law. If the state or local tax is uniformly applied based on the value of the taxed item it's a property tax and may be deductible. If it's based on something else, like mileage or weight of the vehicle, it's not deductible.

The state could choose to tax based solely on the value of the car and it would be entirely deductible, but then you'd be paying perhaps $6 per year and the owners of new BMW's would be screaming. :twisted: Maximizing state residents federal tax deductions is not the only goal of state tax policy.

SimonJester
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Re: Colorado Vehicle Registration fees

Post by SimonJester » Sat Jul 29, 2017 10:37 pm

Epsilon Delta wrote:
SimonJester wrote:My 13 year old minivan is taxes at $3.00 on its value (as other pointed out the tax based on value goes down every year). They they add another $112.00 in various fees. Now the state claims these fees are not a "tax" and thus you can only deduct the $3.00 from your federal income tax :( boo hooo
Federal deductibility is federal law not state law. If the state or local tax is uniformly applied based on the value of the taxed item it's a property tax and may be deductible. If it's based on something else, like mileage or weight of the vehicle, it's not deductible.

The state could choose to tax based solely on the value of the car and it would be entirely deductible, but then you'd be paying perhaps $6 per year and the owners of new BMW's would be screaming. :twisted: Maximizing state residents federal tax deductions is not the only goal of state tax policy.
What the state claims the tax based on value is $3.00 the other charges are registration "fees" not taxes. So its a grey area if you can only deduct $3.00 or if you can deduct the entire amount. I have decided to error on the side of caution and only deduct the ownership tax and not the other registration fees..
"They who can give up essential liberty to obtain a little temporary safety, deserve neither liberty nor safety." - Benjamin Franklin

FraggleRock
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Re: Colorado Vehicle Registration fees

Post by FraggleRock » Sun Jul 30, 2017 12:18 am

Perfectly normal.
Newbies to the Centennial State always whine about this.
Always.
This is useful - https://www.bouldercounty.org/records/m ... ation-fee/

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dratkinson
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Location: Centennial CO

Re: Colorado Vehicle Registration fees

Post by dratkinson » Sun Jul 30, 2017 5:28 am

Sidebar. Think it depends upon where you live. Some friends moved a few counties west of Denver and lost most of the fees and no longer need biennial clean air inspections after updating their vehicles' registration/drivers' license information with the new county.

You could move west of Denver and commute into work. Will spend more on gas.

On a positive note, we're now allowed to harvest (a limited amount of) rainwater for personal use.

Small victories.
d.r.a, not dr.a. | I'm a novice investor, you are forewarned.

SimonJester
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Re: Colorado Vehicle Registration fees

Post by SimonJester » Sun Jul 30, 2017 8:09 am

dratkinson wrote:Sidebar. Think it depends upon where you live. Some friends moved a few counties west of Denver and lost most of the fees and no longer need biennial clean air inspections after updating their vehicles' registration/drivers' license information with the new county.

You could move west of Denver and commute into work. Will spend more on gas.

On a positive note, we're now allowed to harvest (a limited amount of) rainwater for personal use.

Small victories.
I thought if you commute into Denver on a regular basis you still need the clean air inspections.
"They who can give up essential liberty to obtain a little temporary safety, deserve neither liberty nor safety." - Benjamin Franklin

drmoneytails
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Re: Colorado Vehicle Registration fees

Post by drmoneytails » Sun Jul 30, 2017 9:03 am

thank you all for the replies.
I feel better knowing that I am not being ripped off and it is just what it is.
I am loving Colorado and I know in the end things even out with other states (less property taxes, for exemple).
It is a special state as some of you said! But definitely not a cheap one to live in. Which I guess is good or it would be even more crowded!

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yukonjack
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Location: Rocky Mountain West

Re: Colorado Vehicle Registration fees

Post by yukonjack » Sun Jul 30, 2017 7:16 pm

dratkinson wrote:Sidebar. Think it depends upon where you live. Some friends moved a few counties west of Denver and lost most of the fees and no longer need biennial clean air inspections after updating their vehicles' registration/drivers' license information with the new county.

You could move west of Denver and commute into work. Will spend more on gas.

On a positive note, we're now allowed to harvest (a limited amount of) rainwater for personal use.

Small victories.
A new state law allows Coloradans to collect up to 110 gallons of water. And as others have commented on the taxes and fees paid by the OP seem right. Colorado is about in the middle for over all tax burden.

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dratkinson
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Location: Centennial CO

Re: Colorado Vehicle Registration fees

Post by dratkinson » Sun Jul 30, 2017 7:32 pm

BH Colorado Vehicle Registration fee.
SimonJester wrote:
dratkinson wrote:Sidebar. Think it depends upon where you live. Some friends moved a few counties west of Denver and lost most of the fees and no longer need biennial clean air inspections after updating their vehicles' registration/drivers' license information with the new county.

You could move west of Denver and commute into work. Will spend more on gas.

On a positive note, we're now allowed to harvest (a limited amount of) rainwater for personal use.

Small victories.
I thought if you commute into Denver on a regular basis you still need the clean air inspections.
You could be right (didn't check). Friends moved after retiring so that may be their exemption.

drmoneytails wrote:thank you all for the replies.
I feel better knowing that I am not being ripped off and it is just what it is.
I am loving Colorado and I know in the end things even out with other states (less property taxes, for exemple).
It is a special state as some of you said! But definitely not a cheap one to live in. Which I guess is good or it would be even more crowded!
Checked at one time, don't have a ready reference (remember it was a retirement website). Colorado is not the cheapest state, but it's much cheaper than the most expensive states. So in total, not a bad place to live/retire.

CO does get immigrants from CA voting with their feet.

Unfortunately more left-coast ideas seem to influencing local politics. E.G.: My city is thinking about imposing HOA-like residential property restrictions "for the benefit/enjoyment of all most (not the newly created offenders)." I bought in unincorporated county, it became an incorporated city, and may one day be an HOA. May be time to move to the mountains. :)
d.r.a, not dr.a. | I'm a novice investor, you are forewarned.

nhdean
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Re: Colorado Vehicle Registration fees

Post by nhdean » Sun Jul 30, 2017 7:44 pm

Maine is horrible also. My 2017 outback was $670 and my 2017 sierra was $1300. You pay sales tax when you purchase the vehicle at the dealership. Can be quite expensive

Colorado13
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Location: Colorado

Re: Colorado Vehicle Registration fees

Post by Colorado13 » Sun Jul 30, 2017 7:48 pm

Welcome to CO! Yes, car registration is expensive (relatively.) Car insurance is also pricey because we've had annual hail storms in the Denver metro area for the past few years.

I paid $25 for my vehicle emissions test last week, which is required every 2-3 years (I don't recall exactly, but it's not required annually.) The emissions testing requirements vary depending on where you live.

TBillT
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Re: Colorado Vehicle Registration fees

Post by TBillT » Sun Jul 30, 2017 9:25 pm

I've lost track but about 15-20 states charge "car" tax which is annual property tax.
Hard to beat northern Virginia for pain and suffering in this regard, but misery loves company.

In Va it is effectively a progressive car tax, so it really hits more expensive cars like hybrids.
I feel it hurts new car sales and hurts hybrid/plug-in sales, but some limited annual tax on cars may make sense.
The problem is when it get outta control.

stupidkid
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Re: Colorado Vehicle Registration fees

Post by stupidkid » Mon Jul 31, 2017 7:39 am

Cars are cheaper to keep here then CT when I grew up but more expensive than OR where I lived before. I have a 2001 hd diesel pick up with over 200k, it's $250 a year plus $85 emissions, because it's so heavy and diesel requires annual emissions in Boulder county. My 2009 BMW costs less. But property taxes are very low compared to CT, mine are less than half than a friend of mine in CT and my house has a paper value three times his.

rec7
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Re: Colorado Vehicle Registration fees

Post by rec7 » Mon Jul 31, 2017 6:38 pm

drmoneytails wrote:Hello all,

I recently relocated to Denver 4 weeks ago and yesterday my wife and I went to the DMV to register our cars in Colorado.
I am astounded by how steep the price was.

For the 2014 Mazda CX5, we paid 260 dollars for one year
For the 2017 Subaru Crosstrek, we paid 526 dollars

I am researching online to see whether there was some type of mistake but haven't found anything to ease my pain

Anyone familiar with this subject?? Is this normal?
Here in MO it might be cheaper but keep in mind your cars are not very old.
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