2016 brings steep increase in North Carolina DMV fees

A hefty hike in DMV fees took effect Friday in the biggest revenue increase of this year’s state budget.

For those whose driver’s licenses expire on their next birthday, the price of an 8-year renewal rose Friday to $40, an $8 increase. Car registration renewals also will cost $8 more – $36, not counting the local property tax collected at the same time.

The N.C. Department of Motor Vehicles website has expanded in recent years to make more services available online – including car registration and most driver’s license renewals.

This year the legislature ordered an increase of about 30 percent for DMV fees, enough to generate an additional $150 million a year for road and bridge improvements.

The good news for drivers is that the tax on gasoline and diesel fuel dropped Friday by a penny a gallon, to 35 cents. On July 1, it will fall again to 34 cents.

Meanwhile, thanks to the political clout of North Carolina’s car dealers, the state’s low highway use tax on car sales will remain unchanged, at 3 percent, in 2016.

Find details on fees and DMV office locations and a link to DMV’s online transactions site at ncdot.gov/dmv.

This story was originally published December 30, 2015 at 4:40 PM with the headline "2016 brings steep increase in North Carolina DMV fees."