Personal Property Taxes. (Obj. 3) Jan lives in a state that imposes a property tax on the value on motor vehicles. Karl lives in a state that imposes a flat $55 renewal fee for license tags. Jan ays the state $430 to renew her license tags. Included in this amount is a $25 license plate ee. The rest is an ad valorem tax. Discuss the tax consequences to each of these taxpayers on their federal income tax returns. 8