As you know, people who register their vehicles, whether Personal or business vehicles in another State and live in this State or our Town (Kittery) cost the tax payers millions of dollars each year. The fees collected by the Town such as excise taxes remain here and are added to the general fund as revenue. Sales taxes and other fees go directly to the State of Maine. Many of these people do not have insurance since New Hampshire does not require insurance.
The biggest issue is that Maine does not collect Income Taxes from these people who choose to register their cars in another State. The reason is the State of Maine can’t track those who do this because no record of their existence as residents until they register and get a Maine Drivers License. Yes it is true that a small few who work here in Maine, do pay income taxes.
Some of these people can’t afford insurance and place the risk and expense of an accident involving a Maine resident on that resident. Since 1985, this law has evolved with the help of legislators from both sides of the isles. Senator Lemont and David Ott and Representative Walter Wheeler. This issue directly affects Kittery residents. This money that is not collected can fund: fuel assistance, pay for a needed position, replace safety equipment, fix roads. the list is endless but most of all, it can help lower the taxes you pay since more people are paying their fair share.
As you drive around Town, look and see how many out of States plates are parked here in Kittery. Watch as they drop their kids of at our schools. The fines for these violations are $911.00 dollars for each violation and $137.00 for not getting your Maine license. There are only two exemptions.
Those attending Maine Schools only in a full-time status.
- Active Duty Military.
Contrary to popular belief, Business, leased or borrowed vehicles are not exempt. You only have 30 Days to Comply with this law.
Maine requires that the Bureau of Taxation be notified from an abstract copy of the ticket for Income Tax Evasion upon conviction. Then the State can begin an audit and in even some cases collect many years of non paid income taxes. These scofflaws may even be violating laws in the State where they register their cars and these violations of law could even be felonies.
To help lower your taxes and bring fairness to Kittery, when you know of or see a suspected violator, Call the Kittery Police Department 207-439-1638 and keep them informed. It’s your Town and your money.
On another note, other Towns in Maine also take this seriously as well. In October 2013,The Town of Lebanon enacted a Zero Tolerance Policy as did Kittery did in 2003. An informational video (click the link) has been released to educate all people about the costs associated with failing to register. Lebanon also has a report a violation form on their website.
To see what that Town does, View the form here. http://www.lebanon-me.org/Public_Documents/regreport