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Vehicle Sales Tax Questions

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  • you pay tax on the price on the back of the title, whatever you and whoever is selling it agree on minus taxes, i'm sure you could ask them what price they'll be putting on the title
  • pefredpefred Posts: 1
    In 2012, the GA Legislature passed a bill, a part of which eliminated a really great part that stated that, and I paraphrase here, "people who buy used cars from individuals do not have to pay sales tax". The new law treats individual and dealer purchases the same. However, although the law was effective on 01/01/13, portions of the law don't go into effect until 03/01/13. However, I have not been able to figure out if the individual used car sales tax portion went into effect on January 1, or goes into effect on March 1.

    So, here's my question for anybody who knows the new law. I'm planning on selling one of my cars between now January 7 and March 1 on AutoTrader as an individual. If I sell the care prior to 03/01/13, does the buyer have to pay any sales tax. Any help would be appreciated.
  • I purchased a vehicle from my daughter, is there sales tax on family member to family member purchases in ohio ?
  • cp9974cp9974 Posts: 1
    I have searched the web extensively and these forums but I can't find a definitive answer regarding purchasing in AZ as an out-of-state resident driving it back to my MN where I reside. I have actually read conflicting things about AZ in particular.

    The dealership quoted me with a city tax.

    Can someone please advise?
    Thanks.
  • igozoomzoomigozoomzoom Waleska, GeorgiaPosts: 801
    Here is the info on the topic on the Arizona Dept of Revenue site-

    http://www.azdor.gov/Business/TransactionPrivilegeTax/MotorVehicleSales.aspx

    If it becomes too much of a nightmare, is it absolutely essential that you buy the car in AZ? Or can you return to MN and buy it instead?
    2015.5 Volvo S60 T6 Drive-E Platinum, 2012 Mazda CX-9 GT
  • glayfan40glayfan40 Posts: 32
    Hi,

    I've purchased a new vehicle back in Jan of this year and paid the MA sales tax ($1500 and change). I've since sold the vehicle in June to a dealership. Am I entitled to a partial refund of the sales tax I paid originally?

    Thanks!
  • I took over a lease from an individual in Orth Carolina , I live in Illinois , went to get plates today and the DMV said I had to pay sales tax on the original purchas price even though there is only 9months left on the original 36 month lease. So I would be paying $2600.00 so I can drive for 9months . Seem to be a very unjust law. My question is since this is least to my company can I register it in nearby Wisconsin where they appear to understand what a lease is and how they work. What is the legal penalties for doing so, if the fine is less than the tax, I'm thinking of doing it that way.
  • thegreythegrey Posts: 20

    I have a question: if I were to move to MD (6% tax on cap price of entire car) with a lease in progress, and I were previously leasing in PA (10% tax on payments) - would I have to pay the difference in the taxes backdating from when the car was initially leased?

  • joe131joe131 Posts: 996
    Leased a Hyundai in Peoria AZ where tax is 8.1% so that tax was added to the lease base monthly payment. But a couple weeks later, Hyundai Motor Finance sent me a letter showing a higher monthly payment based on the sales tax in the city where the car would be parked overnight instead of the city of the dealership. Dealer should have known that in AZ, tax on a car sale is based on point of sale but tax charged on a lease is based on city where car will be parked at night (the term used by HMF is "garaging" address).
  • kyfdxkyfdx Posts: 57,852
    joe131 said:

    Leased a Hyundai in Peoria AZ where tax is 8.1% so that tax was added to the lease base monthly payment. But a couple weeks later, Hyundai Motor Finance sent me a letter showing a higher monthly payment based on the sales tax in the city where the car would be parked overnight instead of the city of the dealership. Dealer should have known that in AZ, tax on a car sale is based on point of sale but tax charged on a lease is based on city where car will be parked at night (the term used by HMF is "garaging" address).

    That's unfortunate, but not sure there is anything you can do.

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  • Planning on purchasing a car in CA and register in TX. CA sales tax is higher and from what I understand, since I'm planning to drive it back (taking delivery at the CA dealership), I have to pay CA sales tax (@8.5% or so). Since TX sales tax is only 6.25%, how do I get additional tax additional amount that was paid to CA during registration? Thanks!
  • MichaellMichaell ColoradoPosts: 48,974

    Planning on purchasing a car in CA and register in TX. CA sales tax is higher and from what I understand, since I'm planning to drive it back (taking delivery at the CA dealership), I have to pay CA sales tax (@8.5% or so). Since TX sales tax is only 6.25%, how do I get additional tax additional amount that was paid to CA during registration? Thanks!

    You will be registering your car at the TX address?

    You should be able to get a refund of the entire CA tax, then pay the 6.25% when you register the car in TX.

    Check the CA department of revenue website; there ought to be some instructions on how to get a refund.

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  • steverstever Posts: 52,572
    edited November 2016
    Not sure how true it is, but I've heard that some dealers will deliver cars to people to the state line so they can take possession in Nevada or Arizona and avoid California tax. Since you're planning a road trip anyway, it may be worth asking about and flying into some place like Reno or Vegas instead.

    I asked that question at a Chevy dealer in San Diego last month and they didn't have a clue. Or we can ask @kyfdx. :)
  • kyfdxkyfdx Posts: 57,852
    edited November 2016
    I'm pretty sure if you buy and take delivery of a car in CA, you'll pay CA sales tax. And, they won't be refunding it.

    It's possible that Texas would credit you for CA taxes paid, if they have a reciprocal agreement, but given the distance, that seems unlikely. Check with the Texas DMV.

    The higher CA sales tax rate will be the least of your problems, if it turns out you have to pay sales tax in both states, to register the vehicle.

    See what Steve says about asking them to delivery it across the state line.

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  • MichaellMichaell ColoradoPosts: 48,974

    Planning on purchasing a car in CA and register in TX. CA sales tax is higher and from what I understand, since I'm planning to drive it back (taking delivery at the CA dealership), I have to pay CA sales tax (@8.5% or so). Since TX sales tax is only 6.25%, how do I get additional tax additional amount that was paid to CA during registration? Thanks!

    One last question - are you doing this for convenience or is it because CA is the only place where you can get the car you want? Lots of dealers in Texas - I find it hard to believe none of them have what you want.

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