Tax on Out of State Purchase
07-01-2014, 08:02 AM
#16
Burning Brakes
Thread Starter
More good info. Thanks. I think I will call the dealer and get beyond my sales guy. If the dealer can adequately handle things without any hassle or mistakes I'm fine with that. We'll see!
07-01-2014, 10:36 AM
#17
Rennlist Member
Lodi:
I'm in your exact situation. I'm taking delivery on 10/24/14 from a dealer in VA and they are calculating GA tax and making sure that gets collected at the time of sale. GA tax is funny b/c they have a one-time ad valorem tax in lieu of annual ad valorem assessment. Another option (might be too late) is to set up an LLC in Montana and register it there tax-free, but that can be a little shady if you ask me. Montana plates could be sweet. PM me if you want to go driving sometime! - Ken
I'm in your exact situation. I'm taking delivery on 10/24/14 from a dealer in VA and they are calculating GA tax and making sure that gets collected at the time of sale. GA tax is funny b/c they have a one-time ad valorem tax in lieu of annual ad valorem assessment. Another option (might be too late) is to set up an LLC in Montana and register it there tax-free, but that can be a little shady if you ask me. Montana plates could be sweet. PM me if you want to go driving sometime! - Ken
07-01-2014, 11:50 AM
#18
Drifting
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Bought a New Subaru in 2009 in Reno for the coming winter. Moved back to California and didn't fart around with taxes in California until it was time to register the car, after one year. California wanted something like $1700 to register the car in California since we bought the car new in Reno. The big issue was the difference in sales tax, or lack thereof. So we just drove up to Reno and re-registered the car there.
My parents use to get around paying the sales tax on tobacco by buying their Cigarettes from New York. One day they got a piece of paper stating that they had to pay the State California tax on Tobacco products. That was the last time they ordered from out of state. What was the point? The whole reason in doing so was to avoid paying the overpriced state tax on Tobacco. I wouldn't mind it as much if the tax went to pay for tobacco related illnesses. But most of it goes to hollywood to aire antismoking campaign commercials. What a roose, and bull****.
My parents use to get around paying the sales tax on tobacco by buying their Cigarettes from New York. One day they got a piece of paper stating that they had to pay the State California tax on Tobacco products. That was the last time they ordered from out of state. What was the point? The whole reason in doing so was to avoid paying the overpriced state tax on Tobacco. I wouldn't mind it as much if the tax went to pay for tobacco related illnesses. But most of it goes to hollywood to aire antismoking campaign commercials. What a roose, and bull****.
07-01-2014, 12:32 PM
#19
Rennlist Member
Bought a New Subaru in 2009 in Reno for the coming winter. Moved back to California and didn't fart around with taxes in California until it was time to register the car, after one year. California wanted something like $1700 to register the car in California since we bought the car new in Reno. The big issue was the difference in sales tax, or lack thereof. So we just drove up to Reno and re-registered the car there.
My parents use to get around paying the sales tax on tobacco by buying their Cigarettes from New York. One day they got a piece of paper stating that they had to pay the State California tax on Tobacco products. That was the last time they ordered from out of state. What was the point? The whole reason in doing so was to avoid paying the overpriced state tax on Tobacco. I wouldn't mind it as much if the tax went to pay for tobacco related illnesses. But most of it goes to hollywood to aire antismoking campaign commercials. What a roose, and bull****.
My parents use to get around paying the sales tax on tobacco by buying their Cigarettes from New York. One day they got a piece of paper stating that they had to pay the State California tax on Tobacco products. That was the last time they ordered from out of state. What was the point? The whole reason in doing so was to avoid paying the overpriced state tax on Tobacco. I wouldn't mind it as much if the tax went to pay for tobacco related illnesses. But most of it goes to hollywood to aire antismoking campaign commercials. What a roose, and bull****.
07-01-2014, 03:46 PM
#20
Burning Brakes
Thread Starter
Lodi:
I'm in your exact situation. I'm taking delivery on 10/24/14 from a dealer in VA and they are calculating GA tax and making sure that gets collected at the time of sale. GA tax is funny b/c they have a one-time ad valorem tax in lieu of annual ad valorem assessment. Another option (might be too late) is to set up an LLC in Montana and register it there tax-free, but that can be a little shady if you ask me. Montana plates could be sweet. PM me if you want to go driving sometime! - Ken
I'm in your exact situation. I'm taking delivery on 10/24/14 from a dealer in VA and they are calculating GA tax and making sure that gets collected at the time of sale. GA tax is funny b/c they have a one-time ad valorem tax in lieu of annual ad valorem assessment. Another option (might be too late) is to set up an LLC in Montana and register it there tax-free, but that can be a little shady if you ask me. Montana plates could be sweet. PM me if you want to go driving sometime! - Ken
07-01-2014, 04:33 PM
#23
Ken is correct he will only pay the taxes to the dealer as indicated. When he goes to register on his birthdate he will only pay 25 dollars for the tag, and 1 dollar for processing. Just did my 2013 C2S a few months back. I will never buy out of state because you will have to pay more when you opt in. Some states make you split the sales tax between the two, and some cases it can cost you down the road haggling with a out of state sale. No thanks not worth the hassle to save a couple of bucks.
07-01-2014, 08:14 PM
#24
GT3 player par excellence
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op's dealer and cyrek both right.
1. dealer of reciprocating states can collect tax. say OH and CA. OH dealer would charge me the OH rate, then when i reg it in CA, my DMV charges the remainder tax.
2. out of state dealer give you their state title. you bring car to home state, turn in the title and pay tax.
1. dealer of reciprocating states can collect tax. say OH and CA. OH dealer would charge me the OH rate, then when i reg it in CA, my DMV charges the remainder tax.
2. out of state dealer give you their state title. you bring car to home state, turn in the title and pay tax.
07-02-2014, 12:20 PM
#25
Burning Brakes
I just went through this with buying my car. I bought the car from a dealer in Michigan. I called the DMV here to find out if the taxes will transfer, they told me no. I would have to pay the taxes again, so I had the car wholesaled to a dealer I know here.
I suggest you call the DMV and find out if the VA is a state that will pass the taxes on.
I suggest you call the DMV and find out if the VA is a state that will pass the taxes on.
07-22-2017, 07:11 PM
#27
Has anyone tried going through the Montana LLC Process to help save sales and property tax ??
Is it even worth the risk?
Thanks
Is it even worth the risk?
Thanks
07-23-2017, 08:34 AM
#28
SJW, a Carin' kinda guy
Rennlist Member
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50 states, fifty sets of laws, and if you buy out of state you are dealing with two sets of laws, maybe three if you are registering in a third state, and it can matter if you are a resident or an out of state resident as to whether you can or cannot claim tax credits so it matters which way you are going. Layer on the fact that states treat trade ins and sales within X days differently too, and you have to check for your situation.
If you are willing to pay to have the car shipped via common carrier, you can usually avoid double taxation issues, but again, fifty states, fifty sets of laws.
If you are willing to pay to have the car shipped via common carrier, you can usually avoid double taxation issues, but again, fifty states, fifty sets of laws.
07-23-2017, 08:40 AM
#29
SJW, a Carin' kinda guy
Rennlist Member
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this is based on florida, but most of it still applies.
http://dor.myflorida.com/dor/tips/tip12a01-01.html
usually u pay out of state tax, and when u get back you pay the diff if yours is more. you dont get a refund if theirs is more.
http://dor.myflorida.com/dor/tips/tip12a01-01.html
usually u pay out of state tax, and when u get back you pay the diff if yours is more. you dont get a refund if theirs is more.
07-23-2017, 09:18 AM
#30
That is not unheard of but....I always insist on NOT paying the out of state dealer sales tax and telling them I'll do it when I register the car in MA....makes for a cleaner deal and no worries about when I get to my DMV if there's any calculations etc. Never had a dealer say no....