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Missouri law ending temp tags simplifies car buying, but increases upfront costs

Jeannie Wamego’s car is parked on the side of US-24 on Thursday, Sept. 21, 2023 at Don’s Family Style Buffet in Moberly. Oklahoma residents who are Citizen Potawatomi Nation tribal members, including Wamego, can have license plates with the seal of the Potawatomi Nation.
Cara Penquite
/
Columbia Missourian
Under a new state law, drivers will no longer leave the dealership with a temporary tag. Instead, they will be issued a temporary plate with their permanent information until the metal plate arrives.

Buying a car in Missouri will look different starting around late 2026. Under a new state law, drivers will no longer leave the dealership with a temporary tag. Instead, they will be issued a temporary plate with their permanent information until the metal plate arrives.

"This is going to streamline the process," said Trish Vincent, director of the Missouri Department of Revenue. "It's going to be a one-stop shop for our citizens when they go to buy a car."

This change also comes with a financial shift. Buyers will have to pay the sales tax at the time of purchase. It can be rolled into loans, but it cannot be postponed and paid at the DMV. That could be thousands of dollars paid out-of-pocket by the buyer, meaning a higher monthly payment.

"Yes, we all know we're buying a new car, but at the same time we also have to understand that taxes come with this," said Casey McVey, who bought a car in July. "So just having one spot and one location at that one time would make it 10 times easier."

This law change was initiated in part because many people in Missouri are driving with expired temporary license plates instead of going to the DMV to title and register their vehicles, according to Kyle Green, a Missouri State Highway Patrol spokesperson. This stops payments on sales tax, which is mainly allocated toward Missouri road projects.

"It actually adds up to millions of dollars that we're losing in money," Vincent said. "Not only to highways, but to local communities."

The law took effect in late August, but the state won't implement these changes until late 2026 or early 2027 when Missouri launches its new FUSION system. This system will combine all of the current software systems used for motor vehicle registration.

The change should bring back funding to Missouri roads and ensure people are driving legally, Vincent said.

KOMU 8 is a full-powered NBC affiliate operating as an independent commercial property. As such, KOMU 8 is the only major network affiliate in the United States that acts as a university-owned commercial television station utilizing its newsroom as a working lab for students.
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