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Clips From the Clerk

 

Credit Transfer

 

Credit Transfers may be used in registration activities.  Currently

some registration fees are credited to the owner on the sale or

relinquishment of a vehicle, when the vehicle’s registration

period has not yet expired.

House Bill 19-1138 adjusts which fees are creditable and allows

for registration credits to be transferable to the buyer of the

vehicle.  The credit stays with the owner or with the vehicle.

 

What is a credit transfer?

A Credit Transfer occurs when an unexpired registration has a remaining credit that is being

applied to a different registration.

 

How are credit transfers determined?

When a credit transfer is applied during a transaction, DRIVES

will calculate the amount of the credit being applied to the

individual fees and taxes behind the scenes.  The credit is

derived from the original transaction and comes out of the

appropriate buckets (i.e., SOT, base fees, etc.).

 

Changes to Credit Transfers

  • The credit transfer is only generated when the total sum of the remaining specific ownership tax (SOT) and the registration fee credits are $10.01 or higher.
  • Proration of credit is only for FULL months left in the registration period.

o Example: If the customer transfers the credit on 10/1, they do not get credit for October.  The credit will be assessed for the remainder of the registration

period.

  • Credits cannot be applied from material fees; specialty plate donations or Clerk Hire fees.
  • If a seller’s credit is to be used by a buyer, a DR 2444 Statement of Fact is required by the seller.
  • IRP Colorado fees will be transferable to another IRP account or to a Non-IRP vehicle once programming is completed.

 

 

 

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