The times are a changing. Home prices in the Seattle metro area have skyrocketed, but that’s not the only rising price. King, Pierce, and Snohomish county residents that have recently received their annual car-tab renewal letters have been left shocked. Starting in March, Sound Transit increased the tax by .8% of vehicle value on car-tab renewal cost.
A .8% increase doesn’t seem large on its own. When you break it down, that is an additional $80 in tab renewal cost per $10,000 in value on your vehicle. Let’s take a look at how the numbers change this year.
Old Rate Vs. New Rate
Say you have a vehicle worth $20,000:
- Old Rate: $80
- New Rate: $240
Wow! A jump from $80 to $240 is quite the hike over one year for car owners. Though this should be no surprise, the hike is due to the Sound Transit 3 that passed last November. The tax increases will also be reflected in sales and property taxes. The estimation is that ST3 will cost residents an average of $169 per year.
ST3 is going to expand the light rail to West Seattle and Tacoma in 2030, Ballard by 2035, Everett by 2036, and Kirkland in 2041. Many drivers have been blindsided by the amount they had to pay for renewals, so spread the word!