Miscellaneous

Montgomery County Wheel Tax: Disabled Veteran and Active-Duty Exemptions

Montgomery County's wheel tax is $74 a year. A veteran rated one hundred percent permanent and total is exempt; the County Clerk asks for a signed VA letter. An active-duty service member stationed at a Tennessee base, Fort Campbell included, who is not a Tennessee resident can be exempted once a year with a recent Leave and Earnings Statement.

Also called: wheel tax, motor vehicle privilege tax, County Clerk, license plate, registration, Fort Campbell, LES, active duty, 5-8-102, $74.

For: Veteran or service member.

Where it applies

Written for the jurisdictions listed here.

The wheel tax is Montgomery County's motor vehicle privilege tax, collected by the County Clerk at Veterans Plaza, 350 Pageant Lane. The Commission raised it to $74.00 from February 1, 2021. A standard plate renewal is $29.00 without it and $103.00 with it at the counter ($106.00 by mail, $110.43 online). Disabled veterans. The Clerk's pages say that under 5-8-102 a disabled veteran with one hundred percent permanent total disability is exempt on submitting evidence of it, and ask for proof of a 100% rating, such as a signed VA letter, at the time of application. No refund is given once a registration has been processed, so bring the letter to the counter. The Clerk's pages state only the one hundred percent route. Section 5-8-102 also exempts any former prisoner of war, at any rating, and a vehicle bought with a VA adapted-vehicle grant under 38 U.S.C. 3901; see the Tennessee entry on the county motor vehicle privilege tax. A former prisoner of war or adapted-vehicle owner should claim the exemption anyway. Active-duty service members. An active-duty service member who is not a Tennessee resident and is stationed at a Tennessee base, Fort Campbell included, can be exempted from the wheel tax once a year. Bring an end-of-month Leave and Earnings Statement issued within the last 90 days; every military transaction needs one. If the statement shows Tennessee as the state of tax residence, or the member already used the exemption on a valid registration, the $74.00 is charged. The Trustee's $25 wheel tax rebate is for residents 65 and older with household income of $25,000 or less, not for veterans as such.

Thresholds

Thresholds for Montgomery County Wheel Tax: Disabled Veteran and Active-Duty Exemptions
GateRule
One hundred percent permanent and total, service-connectedSection 5-8-102 exempts a veteran with one hundred percent permanent total disability from a service-connected cause, as VA determines it. It is recorded rather than enforced because a former prisoner of war, and a veteran whose vehicle came with a VA adapted-vehicle grant under 38 U.S.C. 3901, are exempt at any rating.
Permanence is part of the testThe section asks for permanent total disability. A one hundred percent rating VA expects to improve does not meet it.
Or a former prisoner of war, or an adapted-vehicle grantAny former prisoner of war is exempt, and so is a vehicle bought with a VA grant under 38 U.S.C. 3901, whatever the rating.
Or active duty, stationed in Tennessee, not a Tennessee residentThe Clerk grants one exemption a year to a nonresident active-duty member stationed at a Tennessee base, on an end-of-month LES from the last 90 days that does not show Tennessee for state tax.

Sources

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Disclaimer

VetTOC is not affiliated with the U.S. Department of Veterans Affairs or the Department of Defense. Information is for reference only and is not an eligibility determination. Verify with VA, the relevant state or territory, or an accredited VSO.