Study examines feasibility of tolling some Michigan roads

A recent Talking Michigan Transportation podcast provided a conversation with Eric Morris, Michigan office lead for HNTB, the transportation consultant selected to complete a tolling study.

Some 35 states have at least one facility with tolling. But that number is a little deceiving because Michigan would be counted in that total since there is tolling on big bridges and/or international crossings but no tolling on non-bridge road segments.

Morris says the experts analyzed all 31 highways in Michigan for the study and determined that 14 could become toll roads, including large portions of Interstates 75, 94 and 96.

As Bridge Michigan reported, any tolls would take years to implement and require approval from the Legislature and the governor, among numerous hurdles.

Morris talks about the differences between various road user charge (RUC) options, including mileage-based user fees (MBUF) and tolling and how pilot programs seeking people to participate have been voluntary, so far, including one in Oregon that has generated a lot of discussion.

Doc Fee for 2023/24 has been adjusted to $260

On January 13, 2023 the Department of Insurance and Financial Services (DIFS) reviewed the documentary preparation fee (doc fee) adjustment and has determined the maximum shall be adjusted to $260.00, which reflects the cumulative percentage change in the consumer price index for the past two calendar years. Accordingly, the documentary preparation fee shall not exceed 5% of the cash price of the motor vehicle or $260.00, whichever is less.

The maximum documentary preparation fee is reviewed and adjusted every two years to reflect the cumulative percentage change in the consumer price index of the two immediately preceding calendar years.

Also see DIFS bulletin 2023-01-CF for information. DIFS will next review the maximum allowable doc fee amount in mid-January 2025.

NADA One-Stop For “Hot” Regulatory Topics

NADA offers its members various “one-stop” webpages with federal regulatory and compliance topics to assist dealers as they prepare for new regulations.


FTC Safeguards Rule

Learn how to comply with the Federal Trade Commission’s updated data and information security requirements for dealers.


Incentives for Clean Vehicles and Refueling Infrastructure

The following resources are designed to assist dealerships and customers with finding and understanding alternative fueled vehicle and refueling infrastructure incentives.


FTC Proposed Rulemaking on Auto Retail

On June 23, 2022, the Federal Trade Commission (FTC) introduced a massive, 126-page notice for a proposed rule that would, if approved, dramatically transform and complicate the process for consumers to purchase, trade-in, and finance new and used cars and trucks, and voluntary protection products like extended service contracts and GAP Waiver.

Partial Trade-in Sales Tax Credit Increases Max. $9,000

Public Acts 1 & 2 of 2018 changed the maximum trade-in value partial sales tax trade-in credit to incrementally increase annually. Beginning January 1, 2023, owners trading in a motor vehicle receive a sales tax credit for the vehicle’s trade-in value up to a maximum of $9,000. This is a $1,000 increase from the year 2022 maximum of $8,000.

Frequently Asked Questions

Can a trade-in sales tax credit be applied to a lease vehicle transaction?
No, the trade-in credit laws do not provide for trade-in tax sales tax credit for leased vehicles.

Is a motorcycle, moped, or motor home taken as a trade-in eligible for the trade-in sales tax credit?
Yes, any vehicle meeting the Michigan Vehicle Code definition of a motor vehicle is eligible for the trade-in sales tax credit.

Can valuables such as jewelry, coins, or collectibles taken as a trade-in receive sales tax credit?
No, the sales tax trade-in credit laws only provide a sales tax credit trade-in on eligible motor vehicles and recreational vehicles.

Can more than one vehicle be used as trade-in credit?
No, only one vehicle can be used toward the sales tax trade-in credit. If two or more vehicles are traded in, sales tax credit for only one of the vehicles can be applied.


Please see this bulletin from MDOS for more information and common questions about the credit.