A legislative committee voted to approve bill LC392504S, which changes the timeframe for when motor vehicle dealers must remit full TAVT on dealer loaner vehicles from 30 days to 45 days, closing a loophole noted by the bill's presenter.

The bill's presenter told the committee that under current practice "if you have a vehicle that is in the shop for more than 30 days and that person has a loaner vehicle from that dealership and they keep that loaner vehicle for more than 30 days, then the full TAVT tax is supposed to be remitted to the Department of Revenue." The presenter characterized the current interpretation as a loophole and asked members to vote to close it.

The chair confirmed the committee was considering DEL C 392504S and that the only change in the draft is replacing "30 days" on line 13 with "45." The chair also noted the item had come out of subcommittee "unanimous, as presented." A member moved to pass the measure and another member seconded; the committee approved the bill by voice vote. The hearing record contains affirmative responses but does not include a numerical roll-call tally.

Supporters said the change would align the remittance requirement with a longer service window used in dealer practices and prevent loss of revenue owed to the Department of Revenue. The presenter said the change's purpose is "to address an issue within the motor vehicle dealers that are doing repairs" and to "close that loophole."

After the vote the committee adjourned. The chair announced that a subcommittee on ports and local government that had been scheduled for this week has been postponed until next week.

The transcript does not identify next procedural steps for the bill beyond the committee vote, and the record does not include a numeric vote tally.