Temporary tag law changing in Arkansas

JONESBORO, Ark. (KAIT) – The law regarding temporary tags in Arkansas will change soon.

On August 1, Act 41, filed by State Representative Fran Cavenaugh of Walnut Ridge, will become law.

Act 41 changes the temporary tag law, doubling the time temporary tags are valid from 30 days to 60.

Cavenaugh, the owner of multiple car dealerships across Northeast Arkansas, said she’s encountering a problem when car buyers attempt to register their cars.

“We can pay off a vehicle with a lien holder, and it’ll be 45-50 days before we even get a title that we can send to a consumer,” Representative Cavenaugh said. “If they bought it, I can’t even get them the title to register it in 30 days. They then were getting a penalty on top of that because they couldn’t register in the thirty days.”

The representative said the law change would also benefit low-income residents in the state.

“For low-income Arkansans, it gives them an extra 30 days to be able to come up with that sales tax,” Cavenaugh explained. “If you’re a low-income Arkansan, you’re having to put money down, you’re having to make sure your personal property taxes are paid, and you’re having to get insurance. Well, that takes a big chunk out of their income, and this extra 30 days will allow them more time to come up with that sales tax.”

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