Maryland is cracking down on out-of-state license plates, giving drivers six weeks to register their cars properly.
As part of the state Motor Vehicle Administration’s “Plate Where You Live” campaign, residents must register their cars in Maryland by October 1 before facing fines.
The campaign mainly targets cars Maryland residents have registered in neighboring Virginia.
Droves of Maryland drivers have registered their cars in Virginia because of lower registration costs and less strict requirements, The Baltimore Banner reported in March.
"When you see a certain car driving recklessly on the street, as soon as they pass, if they have Virginia tags, we are like, 'See, I knew it,'" a driver named Jojo told CBS News Baltimore. "It's just a running joke because we know it's a big thing."
Maryland’s Motor Vehicle Administration argues that improperly registered cars are a safety concern.
“Over 98% of illegal out-of-state tags were not in compliance with the safety inspection requirement - which ultimately puts our transportation system at risk,” the administration writes on a webpage about the campaign.
The administration also argued that the money Maryland residents pay for their car registration funds the state’s transportation system, including ambulances and med-evac helicopters.
"I can understand how people try to beat the system to take care of their family,” one driver told CBS News Baltimore. “However, there's a consequence of beating the system, and so the consequence is they're cracking down on it.”
In late July, state officials sent about 79,000 letters to Maryland residents who have out-of-state plates, reminding them to register their cars properly before the deadline.
Starting on October 1, Maryland residents who still have out-of-state plates will receive an official notice advising them of the state’s registration requirements and informing them that a case into the matter has been opened, according to a press release issued Monday by the Motor Vehicle Administration.
Drivers will then have 60 days to register their cars properly. If they have out-of-state plates after the grace period is up, they may be fined $7 per day, up to a maximum of $420 per car, the administration warned.
Officials will take additional steps if the car is still not registered properly after 120 days, which may include booting, towing, vehicle impoundment and seizure of out-of-state plates.
Maryland isn’t the only state cracking down on drivers who may try to save a buck through other states’ laws.
Across the country, California officials have warned about the “Montana Loophole,” in which residents buy luxury cars in Montana to avoid paying California sales taxes.
In March, California Attorney General Rob Bonta, along with other state officials, announced charges against 14 people following an alleged scheme to evade reporting more than $20 million in luxury car purchases to avoid paying more than $1.8 million in state taxes.
“When bad actors abuse legal loopholes and submit fraudulent documents to evade their obligations, the California Department of Justice will not stand idly by,” Bonta said in a statement at the time.
“Every dollar of unpaid taxes is a dollar taken from California’s roads, schools, and the vital services our communities rely on. Schemes that defraud the government of millions in taxpayer money will not be tolerated.”