Ride sharing vehicle
A ride-sharing vehicle is a vehicle that is used in a car pool or van pool. The vehicle must be used by a fixed group of no less than five or more than fifteen persons, including passengers and driver. However, where at least two of the persons are confined to wheelchairs when riding, the group can be no fewer than four persons including the driver. The gross vehicle weight may not exceed ten thousand pounds, excluding special rider equipment.
The vehicle must be used to transport these persons between their residences or close proximity and their places of employment or educational or other institutions, in a single daily round trip. The driver must also be on the way to work or an educational or other institution.
Retail sales/use tax
In order to be exempt from retail sales tax a vehicle must be used as ride-sharing vehicles for thirty-six consecutive months from the date of purchase. To be exempt from use tax a vehicle must be used as ride-sharing vehicles for thirty-six consecutive months from the date of first use.
Persons with special transportation needs
Vehicles used for ride-sharing for groups of persons, including their personal attendants, who because of physical or mental disability, income state, or age are unable to transport themselves or to purchase appropriate transportation, are also exempt from the retail sales and use tax when the vehicles are provided by a public social service agency or a private nonprofit transportation provider.
The driver does not have to be elderly or handicapped.
Vehicles with five or six passengers, including driver, used for commuter ride sharing, must be operated within a county required by law to have a commute trip reduction plan in order to be exempt from retail sales tax and use tax. Additionally, at least one of the following conditions must apply: 1) the vehicle must be operated by a public transportation agency for the general public; or 2) the vehicle must be used by a major employer as an element of its commute trip reduction program for their employees; or 3) the vehicle must be owned and operated by individual employees and registered as part of a commute trip reduction program or with a public transportation agency serving the area where the employees live or work.