It will soon cost more to register your vehicle in Tennessee. As part of the IMPROVE Act, which implemented the state’s first gas tax increase in nearly three decades, vehicle registration fees will increase starting July 1st.
Passenger motor vehicle registration will increase $5. Commercial vehicles for transporting passengers for hire such as buses and taxis will increase $10. Commercial and freight vehicles such as semis and tractor trailers will increase $20. Electric vehicle owners will see a new $100 registration fee in addition to the standard registration fee.
The IMPROVE Act will add a 6 cent hike in tax on each gallon of gasoline and 10 cents on diesel. The money will go towards tackling a $10 billion backlog in road projects.