San Diego PPI and CA tax info
06-04-2002, 06:13 PM
#1
Racer
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San Diego PPI and CA tax info
Hello all!
Well my search may (or may not, fingers crossed) be over. I think I found a car! I need to get a PPI done in the San Diego area, so any recommendations appreciated.
Also, does anybody understand buying out of state and the tax implications of pick-up vs. delivery? Dealer states that if I fly in and pick the car up, he is required to charge me 7.5% CA sales tax vs. the 5% for me in GA -- ouch
Help!
Well my search may (or may not, fingers crossed) be over. I think I found a car! I need to get a PPI done in the San Diego area, so any recommendations appreciated.
Also, does anybody understand buying out of state and the tax implications of pick-up vs. delivery? Dealer states that if I fly in and pick the car up, he is required to charge me 7.5% CA sales tax vs. the 5% for me in GA -- ouch
Help!
06-04-2002, 06:27 PM
#2
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Chris,
I bought my 993 C4 in San Diego about 3 years ago. Had the PPI done at Black Forest in SD.
Great shop from what I understand. PPI was spot on. No surprises.
No affliations other than they did the PPI for the car we ended up buying.
Dunno on the tax issue though.
-travis
PS. Black Forest is at (858) 292-1192
<a href="http://www.blackforestautomotive.com/Home/home.html" target="_blank">Black Forest </a>
I bought my 993 C4 in San Diego about 3 years ago. Had the PPI done at Black Forest in SD.
Great shop from what I understand. PPI was spot on. No surprises.
No affliations other than they did the PPI for the car we ended up buying.
Dunno on the tax issue though.
-travis
PS. Black Forest is at (858) 292-1192
<a href="http://www.blackforestautomotive.com/Home/home.html" target="_blank">Black Forest </a>
06-04-2002, 06:46 PM
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[quote]Originally posted by jchanson:
<strong>
Also, does anybody understand buying out of state and the tax implications of pick-up vs. delivery? Dealer states that if I fly in and pick the car up, he is required to charge me 7.5% CA sales tax vs. the 5% for me in GA -- ouch Help!</strong><hr></blockquote>
I don't think that is correct. I had bought 2 cars from Springfield IL. and went picked up both times. I just paid the negociated price and bring the paper works back to pay tax here in Texas.
They can not collect CA. sales tax since you are not a resident in CA. and have NO mailing address for the registration to mail to IN CA.
<strong>
Also, does anybody understand buying out of state and the tax implications of pick-up vs. delivery? Dealer states that if I fly in and pick the car up, he is required to charge me 7.5% CA sales tax vs. the 5% for me in GA -- ouch
Help!</strong><hr></blockquote>I don't think that is correct. I had bought 2 cars from Springfield IL. and went picked up both times. I just paid the negociated price and bring the paper works back to pay tax here in Texas.
They can not collect CA. sales tax since you are not a resident in CA. and have NO mailing address for the registration to mail to IN CA.
06-04-2002, 06:50 PM
#4
I flew out to Denver and picked up my car. I didn't pay sales tax then, but when I registered my car, I was charged "use tax", which was equivalent.
I've heard of a loop hole that if you own a car for 3 months, the taxes you have to pay are reduced. People have just backed dated the sales receipt. I don't condone trying to cheat the system like this, but I'll leave that decision to you.
Jeff
I've heard of a loop hole that if you own a car for 3 months, the taxes you have to pay are reduced. People have just backed dated the sales receipt. I don't condone trying to cheat the system like this, but I'll leave that decision to you.
Jeff
06-04-2002, 06:56 PM
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Chris,
At first I thought the dealer was pulling a fast one on you. But, I think I might have some bad news for you....
I looked at the California State Board of Equalization web site, and found the following quote:
[quote] 1. What is the difference between sales tax and use tax?
In California, transfers of tangible personal property for a consideration (sales and purchases) are subject to sales tax or use tax unless the law provides an exemption. Although the rates are the same, sales tax is imposed on the retailer for the privilege of selling tangible, personal property in this state. Use tax is usually the responsibility of the purchaser. Vehicles, vessels, and aircraft purchased from licensed dealers are usually subject to sales tax, which is collected at the time of purchase. Use tax applies to the cost of vehicles, vessels, and aircraft purchased from non-dealers or from outside California for use in this state. Private party sales or brokered transactions are normally subject to use tax. If first use of the property occurs in California, use tax may apply even if the purchaser is not a resident of the state.
<hr></blockquote>
I'm not a lawyer, so please take my interpretation with a grain of salt. But...it looks like picking up the vehicle and driving it would be considered a first use of the property.
I wonder if you could get around this by having him ship the car to Nevada or Arizona, and driving it home from there?
Sorry to be the bearer of bad news.
Here's the URL: <a href="http://www.boe.ca.gov/sutax/faqtrans.htm" target="_blank">California State Board of Equalization </a>
-- Melissa
At first I thought the dealer was pulling a fast one on you. But, I think I might have some bad news for you....
I looked at the California State Board of Equalization web site, and found the following quote:
[quote] 1. What is the difference between sales tax and use tax?
In California, transfers of tangible personal property for a consideration (sales and purchases) are subject to sales tax or use tax unless the law provides an exemption. Although the rates are the same, sales tax is imposed on the retailer for the privilege of selling tangible, personal property in this state. Use tax is usually the responsibility of the purchaser. Vehicles, vessels, and aircraft purchased from licensed dealers are usually subject to sales tax, which is collected at the time of purchase. Use tax applies to the cost of vehicles, vessels, and aircraft purchased from non-dealers or from outside California for use in this state. Private party sales or brokered transactions are normally subject to use tax. If first use of the property occurs in California, use tax may apply even if the purchaser is not a resident of the state.
<hr></blockquote>
I'm not a lawyer, so please take my interpretation with a grain of salt. But...it looks like picking up the vehicle and driving it would be considered a first use of the property.
I wonder if you could get around this by having him ship the car to Nevada or Arizona, and driving it home from there?
Sorry to be the bearer of bad news.
Here's the URL: <a href="http://www.boe.ca.gov/sutax/faqtrans.htm" target="_blank">California State Board of Equalization </a>
-- Melissa
06-04-2002, 06:57 PM
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Hi........ As per other responses all out-of-state purchase from a dealer are not subject to that state's tax, but you are responsible for the sales tax in the state in which you reside. Here in Illinois the sales tax is pro-rated depending on the age and price of the car. For example, any car
10 yrs or older the tax is only $25, whereas, a 6 year old car valued between $10K and $50K can only be taxed up to $1500. A car 5 years or newer is subject to full state sales tax 6.25% plus any applicable county tax. The best way to be sure is to check with you state's DMV. NO TAXATION WITHOU REPRESENTATION...... isn't that how this all started?????????? Steve
10 yrs or older the tax is only $25, whereas, a 6 year old car valued between $10K and $50K can only be taxed up to $1500. A car 5 years or newer is subject to full state sales tax 6.25% plus any applicable county tax. The best way to be sure is to check with you state's DMV. NO TAXATION WITHOU REPRESENTATION...... isn't that how this all started?????????? Steve
06-04-2002, 07:04 PM
#7
Racer
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I agree with everybody, but as Melissa points out, this is CA and "the rules are different here". Ok, so that was Florida's motto, but it's true when it comes to CA and the law.
I mentioned to the dealer about shipping to somewhere close like Nevada, but he mentioned needing a bill of lading to my place of residence. This is to cover his butt again for the CA laws.
There might be a way around this, but I don't know...
I mentioned to the dealer about shipping to somewhere close like Nevada, but he mentioned needing a bill of lading to my place of residence. This is to cover his butt again for the CA laws.
There might be a way around this, but I don't know...
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06-04-2002, 07:04 PM
#8
[quote]Originally posted by Malibusteve:
<strong>NO TAXATION WITHOU REPRESENTATION...... isn't that how this all started?????????? Steve</strong><hr></blockquote>
What about washington DC?? They still pay taxes, but don't have any representation. Kinda of ironic, isn't it??
Jeff
<strong>NO TAXATION WITHOU REPRESENTATION...... isn't that how this all started?????????? Steve</strong><hr></blockquote>
What about washington DC?? They still pay taxes, but don't have any representation. Kinda of ironic, isn't it??
Jeff
06-04-2002, 07:11 PM
#10
Be wary of waiting to register your vehicle in hopes of saving money. In Iowa, I encountered a delay in getting title (bank screw up) and got hit with a penalty even though there was nothing I could have done.
06-04-2002, 08:14 PM
#11
Rennlist Member
Black Forest in San Diego is good, see if Mark Kinninger can do the PPI. Also, Steve Grosskemper at Dieters is very knowledgable about late model cars.
Can't help you with sales tax...what dealer is this?
Can't help you with sales tax...what dealer is this?
06-04-2002, 08:16 PM
#12
Rennlist Member
Black Forest in San Diego is good, see if Mark Kinninger can do the PPI. Also, Steve Grosskemper at Dieters is very knowledgable about late model cars.
Can't help you with sales tax...what dealer is this?
Can't help you with sales tax...what dealer is this?
06-04-2002, 08:37 PM
#13
Racer
Thread Starter
This is the car...
<a href="http://www.ajusa.com/cgi-bin/showroom/details?car_id=45" target="_blank">http://www.ajusa.com/cgi-bin/showroom/details?car_id=45</a>
Anybody know this particular car?
<a href="http://www.ajusa.com/cgi-bin/showroom/details?car_id=45" target="_blank">http://www.ajusa.com/cgi-bin/showroom/details?car_id=45</a>
Anybody know this particular car?
06-04-2002, 10:16 PM
#14
My only comment is in the opposite situation, buying a car from dealer out of state and bringing into CA. In both situations i was charged the higher CA sales tax which is actually 8.25% (or at least what it is here in LA)
Doesn't seem right that they would charge CA tax for you though.
Doesn't seem right that they would charge CA tax for you though.
06-04-2002, 11:39 PM
#15
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Chris, one thing you might be able to do is pay the sales tax to Cal. then when you register it in your home state and pay the taxes again you can send that receipt to Cal. and they will issue you a refund. It sounds crazy but you might want to check and see if this is how they do this. Good luck that is a nice looking car my color preferance, did they have a reason for the mileage being so low?