FAQs - Sales & Use Tax: Motor Vehicles & Watercraft

Is the amount charged for the federal excise tax (FET) included in the tax base for calculating sales tax?

No. This is a 12 percent federal excise tax, which is required to be collected by a motor vehicle dealer when the dealer sells a heavy truck. Since it is a direct tax on the purchaser, it is not part of the tax base for collecting sales tax.