Tag Buyers find a way around higher costs

Wednesday, August 30th 2000, 12:00 am
By: News On 6

Green Country car dealers say the new law lowering car tag prices is hurting their sales.

State Question 691 passed a statewide vote earlier this month and goes into effect October 1st. The law lowers car tag prices for all new and many used cars. It raises excise taxes on most used car purchases as well.

Because the law does not go into effect for another month, many car buyers are waiting to purchase new vehicles. Tags for a new car will be significantly cheaper in October.

"I think the lower priced cars are selling without much thought,” said Thomas Cadillac owner Jim Thomas. “The higher priced cars are getting a little more thought and more questions about the tag and the impact it will have."

Tag agents say their business is busier than when the vote first passed. Barnes Tag Agency owner Jim Barnes says it’s because people are realizing they can’t wait until October to get the lower price. They will still pay the cost of their tag based on the month it was due. "We have a lot of people call and want to know if there is a way to get around it," said Barnes.

Barnes says people are now realizing they won’t get the lower tag cost until next year’s renewal. Buyers are catching on to a small loop-hole. They currently have the option of buying a three month temporary tag. Then the owner can renew their tag after three months at the lower price.

"We've always had that but nobody cared anything about it until this happened," said Barnes.

In fact, some tag agents are suggesting buyers use temporary tags to save money. Regina Johnston was told about the option when she went to renew her tag.

"She saved me by telling me that I could buy a three month tag and then in three months purchase another tag, so it saved me $150," said Johnston.