Paying sales tax on a car

[Theride]

Lets say I purchase a car from out of state. Would I be paying the sales tax in THAT state or in the state the car will be registered?

 

And lets say I will be paying the tax in the state where the car will be registered, how does it work? Would I get a temp plate (30 days plate) while i register the car?

 

Is it possible for the out of state dealership to handle all paper work as if im buying the car in MY state?

[Ridgeracer]

IIRC....you pay tax in the state that the car is registered. I can't remember if I paid tax at the time of sale or when I registered the vehicle.

[Theride]

IIRC....you pay tax in the state that the car is registered. I can't remember if I paid tax at the time of sale or when I registered the vehicle.

 

If you purchased your car out of state, do you remember if you took care of the registration or the out of state dealer did?

 

Ive never purchased a car out of state. trying to understand it.

[Ridgeracer]

They gave me the 30 day temps until my registration from my trade in was processed by the dmv. They take care of that. You just pay them.

[Theride]

I thought your car cant be registered unless you pay the taxes on the car. ummm

[E-Tank]

I bought my car in PA and registered it in MN. Only paid sales tax in MN. That tax is a bitch, though, if you're honest. Unfortunately, I was.

[Ridgeracer]

I thought your car cant be registered unless you pay the taxes on the car. ummm

 

Now that I think about it, I did pay the tax at the dealership since they did the registration.

[rao]

You ONLY register the car in the state in which you live and you pay that state's sales tax.

[joeleodee]

I'm now thoroughly confused. I believe that you pay sales tax at the time of registration in the state where you live no matter where it comes from. However, is Ridgeracer is telling us that he paid tax and registration at the time of sale? Doesn't that have to be conducted at the PITA DMV and not at a dealership?

 

Here in my state, plan on paying 10% to get plates on your car. Thats why many hop across the eastern border and lie about their home state since the next state over is just a fraction of the cost to plate your new car.

[legacychick]

I bought my car in TN, and the price of the car included MO sales tax and plates. They gave me 30 day tags, did the paperwork to get MO plates and sent that and a check for sales tax to my nearest DMV. The dealership called me when they sent the paperwork so I knew when I could go get my tags. I had no problems at the DMV, and I even got $20 back since the dealer overestimated a little.

[NoDak]

a while back, when i bought a car in another state, i paid the sales tax in the state i bought the car, but when i went to register the car in the state i lived in, i was credited the amount of the tax i paid in the other state and made up the difference in the lived in state. just kkep all your paperwork and it should work out. just make sure the tax is not higher than your lived in state or you lose that money when you go to register.

[Theride]

I bought my car in TN, and the price of the car included MO sales tax and plates. They gave me 30 day tags, did the paperwork to get MO plates and sent that and a check for sales tax to my nearest DMV. The dealership called me when they sent the paperwork so I knew when I could go get my tags. I had no problems at the DMV, and I even got $20 back since the dealer overestimated a little.

 

OK so even though you got the car in TN the dealer took the time out and send the sales tax and tag and title to MO as if you were doing business with a MO dealer?

[legacychick]

Yup, they did everything, I just had to go get the tags. The timing was pretty close though, my 30 day tag was going to expire the day after the DMV received the paper work.

[John M]

The dealership will send the collected sales tax to your state and/or county as appropriate.

 

About half of my car purchases have been in other states so I've done this a lot by now.

 

And yes, my local tag office noticed when the Subaru dealership under-charged the tax (had to show bill of sales & receipt) and required me to pay the difference on the spot to receive my new tag.

[Theride]

Thanks . I appreciate the info.

[Ridgeracer]

I'm now thoroughly confused. I believe that you pay sales tax at the time of registration in the state where you live no matter where it comes from. However, is Ridgeracer is telling us that he paid tax and registration at the time of sale? Doesn't that have to be conducted at the PITA DMV and not at a dealership?

 

Here in my state, plan on paying 10% to get plates on your car. Thats why many hop across the eastern border and lie about their home state since the next state over is just a fraction of the cost to plate your new car.

 

I paid CT tax for a car I bought in NYC at the time of purchase. My car was registered in CT. The stealership takes car of the temp and registration paperwork.

[bluereserve]

I just bought a car in Mass a few days ago, I live in NY.

 

I had to first pay for the car in Mass to secure the title - no tax.

When I got the title I had the car added to insurance so I could register it in NY.

Then I registered the car in New York to get plates - this is when I paid sales tax.

 

Some states like Mass do not issue temporary plates or registration so ask the dealer about this. It was a hassle for me because I had to bring plates to the dealer in order to get the car.