Persons engaged in the business of renting motor vehicles must collect and remit a rental surcharge or tax to the Department of Revenue on all rentals of motor vehicles that are for periods of 31 days or less.
The rate for the auto rental surcharge is 3% of the gross proceeds of the rental less deductions allowed against the surcharge including county wheel taxes, municipal fees, and all title and registration fees. This surcharge is in addition to sales tax.
The charges subject to the auto rental surcharge include any charges related to the rental, such as charges for gas and insurance. The auto rental surcharge is due quarterly on the 15th day of the month following the quarter (Jan 15th, April 15th, July 15th, and Oct 15th).