Maryland drivers illegally registering vehicles in Virginia, costing state millions

SILVER SPRING, Md. - A new report from the Maryland Motor Vehicle Administration reveals that thousands of Maryland drivers have registered their vehicles in Virginia, a practice that could be costing the state up to $12 million in lost revenue annually.

Why are Maryland drivers registering vehicles in Virginia?

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According to the report, an estimated 100,000 Maryland residents have opted to register their cars in Virginia, where fees are significantly lower. 

In Maryland, vehicle registration fees range from $110 to $160, while in Virginia, they cost between $30 and $45.

As Maryland faces a growing budget deficit, state officials say registration fees are a key revenue source for transportation and infrastructure projects. 

The MVA has begun sending letters to violators, reminding them that state law requires vehicles to be registered in Maryland within 60 days of a resident moving to the state.

"With exception to non-residents as defined under Maryland state law, all new residents must title and register their vehicles within 60 days with the Maryland MVA," the agency said in a statement. "The MVA will continue to work with the legislature, law enforcement, and local jurisdictions on appropriate enforcement actions to improve compliance."

Virginia lawmakers recently closed a loophole that had allowed drivers to register their vehicles without auto insurance by paying a one-time fee. Some Maryland residents have taken advantage of these less restrictive regulations for years.

State leaders are now considering legislation to strengthen enforcement and ensure compliance. Residents say the loophole needs to be closed to ensure that everyone contributes fairly to Maryland’s system.

The proposed bill is currently being reviewed in the Maryland legislature.

Check out the full report below: