Wheel Tax & Excise Tax (LOHUT)
The Local Option Highway User Tax (LOHUT) is comprised of two separate taxes know as the wheel tax and excise surtax.
The Wheel Tax and Excise Surtax are local taxes used to fund the construction, reconstruction, repair, or
maintenance of county, city, and town road facilities. All counties are eligible to adopt a County Wheel Tax
(IC 6-3.5-5) and County Excise Surtax (IC 6-3.5-4) and municipal governments with a population greater than 5,000 are eligible to enact a Municipal Wheel Tax (IC 6-3.5-11) and Municipal Excise Surtax (IC 6-3.5-10).
Adoption Timeline — Both taxes must be adopted by September 1 in order to go into effect on
January 1 of the following year.
WHEEL TAX & EXCISE SURTAX REVENUE ESTIMATES
The links below provide estimated revenue for counties and municipalities based on minimum and maximum rates allowable by state statute. These estimates are displayed as a single figure, combining both the wheel tax and excise surtax revenue.
County Wheel Tax & Excise Surtax Estimates (PDF)
Municipal Wheel Tax & Excise Surtax Estimates (PDF)
EXCISE SURTAX (IC 6-3.5-4 & IC 6-3.5-10)
Applicable Vehicles
This tax applies to all vehicles subject to the motor vehicle excise tax as outlined in IC 6-6-5 including:
- Passenger Vehicles
- Trucks <= 11,000 pounds
- Motorcycles
- Motor Driven Cycles (Mopeds)
- Trailer <= 9,000 pounds
- Collector Vehicles
- Mini Trucks
Allowable Rates
Flat Rate- Municipalities
- Minimum of $7.50
- Maximum of $25
- Counties
- Minimum of $7.50
- Maximum of $50
- Minimum of 2%
- Maximum of 20%
WHEEL TAX (IC 6-3.5-5 & IC 6-3.5-11)
Applicable Vehicles
This tax applies to all other vehicles including:
- Trailer > 9,000 pounds
- Truck > 11,000 pounds
- Buses
- Semi-Tractors
- Semi-Trailers
- RVs
Allowable Rates
Flat Rate
- Municipalities
- Minimum of $5
- Maximum of $40
- Counties
- Minimum of $5
- Maximum of $80
ADDITIONAL INFORMATION
Both taxes must be adopted concurrently and no single vehicle would pay both the wheel tax and excise surtax. If a county has imposed a county wheel tax/excise surtax and a municipality within that county has adopted a municipal wheel tax/excise surtax, then a vehicle registered in that municipality would pay both the county and municipal wheel tax or excise surtax.
- LOHUT