More than 3,000 Colorado electric and hybrid truck owners are getting some expensive news as they try to re-register their vehicles in 2025. They are being told to pay their 2025 registration fees and additional, unexpected fees from 2024 after the state division of motor vehicles miscalculated tax credits on their vehicles.
"It's not my ideal way to treat customers," said Tina Harris, Larimer County Clerk and Recorder. "The state is not feeling the impact we are feeling."
The Colorado Department of Motor Vehicles says it made a "calculation error" in 2024 for 3,368 electric and plug-in hybrid vehicles, primarily trucks, that were inadvertently granted a tax break on their registrations that they were not entitled to. The tax break was supposed to only go to fleet vehicles, but was also misapplied to many non-fleet vehicles, according to the state. The state says the vehicle owners were undercharged on their registrations "due to a programming error," which has now been corrected.
But in the wake of the error, the truck owners are now being told they have to pay their 2025 registration fees, along with paying back what they were undercharged. If they refuse to pay back the undercharge, they will not be allowed to register their vehicles, said Harris. The amount owed varies depending on the vehicle year and the taxable value of the vehicle.
It's being left to county motor vehicle offices to "claw back" the undercharges.
"What a bummer," said Harris, who said there are 272 affected vehicles in Larimer County. She said that her office has collected those additional fees from 80 vehicle owners who were undercharged. She said most have been understanding of what occurred, but that many are "disappointed."
The Colorado Department of Revenue's motor vehicle division has set up a dedicated webpage to answer questions from vehicle owners impacted by the error.