Buying out of state
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Joined: June 27, 2005
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In California we have different counties with different tax rates. For instance I am buying my pony from Teri at Mossy Ford in San Diego, but I live near San Francisco. When I hand over the check, the sales tax rate will be from the county in which I register the vehicle, in this case San Mateo county, which unfortunately is a higher rate than in San Diego. :bang:
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Joined: November 12, 2004
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Originally posted by stang9325@October 20, 2005, 9:39 AM
When I sold cars in Texas, the way it worked for us was as follows: You had to pay sales tax in TX ( I believe it was 8%) and if you lived somewhere else, you would have to pay the difference of sales taxes of the other state. For example, MI sales tax is 6%, so since the customer already paid 2% more tax, they would be exempt from the MI tax. However, lets say that MI was 9%, then when registering the car in MI you would have to pay the 1% difference. Hope this helps.
When I sold cars in Texas, the way it worked for us was as follows: You had to pay sales tax in TX ( I believe it was 8%) and if you lived somewhere else, you would have to pay the difference of sales taxes of the other state. For example, MI sales tax is 6%, so since the customer already paid 2% more tax, they would be exempt from the MI tax. However, lets say that MI was 9%, then when registering the car in MI you would have to pay the 1% difference. Hope this helps.
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Joined: September 19, 2005
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I live PA and the state sales TAX is 6% but I also live in Philly and Philly sales TAX is 7%.
It is weird how if I buy a car outside of Philly I still have to pay 7% because I live in the city. If I buy a stereo, furniture, TV's, anything else really, outside of Philly I'll pay 6%.
It is weird how if I buy a car outside of Philly I still have to pay 7% because I live in the city. If I buy a stereo, furniture, TV's, anything else really, outside of Philly I'll pay 6%.
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Joined: April 20, 2005
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From: Tampa,FL
Originally posted by 66stang351@October 19, 2005, 9:00 PM
If you go to another state and pick it up then take it home to register you will get nailed twice. To avoid tax in the state where you purchase the car you have to have them deliver the car out of that state. I don't know if all states will let you do this but California does. In CA you have to have a notarizd document saying delivery took place out of CA. Also, you can't bring the vehicle back to CA for 90 days. I am from OR so we don't have sales tax. I bought an RV in CA and had it delivered to Las Vegas to avoid CA tax.
If you buy in OR then register in CA they will collect the tax when you register.
If you go to another state and pick it up then take it home to register you will get nailed twice. To avoid tax in the state where you purchase the car you have to have them deliver the car out of that state. I don't know if all states will let you do this but California does. In CA you have to have a notarizd document saying delivery took place out of CA. Also, you can't bring the vehicle back to CA for 90 days. I am from OR so we don't have sales tax. I bought an RV in CA and had it delivered to Las Vegas to avoid CA tax.
If you buy in OR then register in CA they will collect the tax when you register.
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