California's Vehicle License Fee (VLF) tax, also known as the Vehicle Property Tax, is an annual tax on the value of a registered vehicle in the state of California. The VLF tax rate in California is set at 1.15% of a vehicle's current market value. This tax is paid annually by vehicle owners as part of the registration renewal process.
The VLF tax revenue collected by the state is used to fund local government services such as public safety, education, and transportation projects. The money is distributed to cities and counties based on the area's population and other factors.
In addition to the VLF tax, California also has a separate fee called the Vehicle Registration Fee (VRF) that is based on the weight of the vehicle. This fee is also paid by vehicle owners as part of the registration renewal process.
Overall, the VLF tax is an important source of revenue for the state of California and plays a significant role in funding local government services and infrastructure projects.
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