Automobiles Leased by Veterans
Effective July 1, 2026, the excise tax law provides a new exemption from excise tax for automobiles leased by veterans who are disabled and are receiving any form of pension or compensation from the United States Government for total, service-connected disability. A qualifying veteran may receive the exemption for no more than three leased automobiles. The name of the qualifying veteran must appear on the lease agreement of the automobile to qualify. This exemption is in addition to the existing provision that provides an exemption from excise tax for up to three automobiles owned by a qualifying veteran. Thus, a qualifying veteran may receive exemption from excise tax for up to six automobiles—three that are leased and three that are owned. For questions regarding the motor vehicle excise tax, contact the Property Tax Division at prop.tax@maine.gov, or (207) 624-5600.