Vehicle Sales Tax

The amount of sales tax paid for a newly purchased vehicle is determined by two factors. The first is the amount that the owner paid for the vehicle and the second is the sales tax rate in the county the vehicle was purchased. The maximum allowable sales tax rate is $15\%$ of the vehicle$$s assessed value. Private party and used vehicle sales may be taxed according to their Standard Presumptive Value which is based on the vehicle$$s appraised value. Current laws allow for any sales tax paid on a vehicle to be used as a deduction when filing tax returns. Up to $70\%$ of the sales tax amount can be deducted from a tax return.

$41.$ According to the passage, if the Standard Presumptive Value of a vehicle is $$14,655$ and it is taxed the maximum allowable amount, what would be the maximum sales tax deduction on a tax return for the vehicle?

a$.$ $$153\mathrm{.}88$

b$.$ $$1,538\mathrm{.}78$

c$.$ $$2,198\mathrm{.}25$

d$.$ $$10,258\mathrm{.}50$

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$42.$ Assume that a county$$s sales tax rate for $2006$ was $12\mathrm{.}76\%$ but is expected to increase to $13\mathrm{.}34\%$ in $2007.$ According to the passage, how will this sales tax increase affect the amount of taxes an individual pays on a privately purchased vehicle that is assessed by its Standard Presumptive Value?

a$.$ The proportion of the vehicle$$s cost that can legally be taxed will increase.

b$.$ The proportion of taxes taken from private sales will increase.

c$.$ The $13\mathrm{.}34\%$ sales tax will increase the proportion that a taxpayer can deduct when filing a tax return.

d$.$ The proportion that a taxpayer can deduct when filing a return will increase by $\mathrm{.}58\%.$

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