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Out of state Porsche dealer charging $6K 'Lien filing fee'

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Old 06-18-2010, 03:01 PM
  #16  
Nugget
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Originally Posted by Bum
I bought my car in 2007 from TX and the dealership there did not have me pay any tax since there is no state tax in TX.
There is no state income tax in Texas but there sure is property and sales tax to make up for it.
Old 06-18-2010, 03:42 PM
  #17  
TooSixy
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Same thing with mine. Bought the car from a Porsche dealer in NJ and they collected the sales tax for Florida, and title/tag fees as well. Two weeks after delivery, I got my FL tag and title in the mail.
Old 06-18-2010, 04:09 PM
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Minok
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Depends on how you are buying it. Is the car being delivered to you in your home state, so the dealer is going to process the tax title registration in your state for you? Or are you buying it from the dealer in that state and then yourself re-registering it in your home state?

Upon sale, the selling dealer does have to get the car registered and licensed in a state - that may be what this fee is for. The amount of the fee depends on the state. Some state's fees are based on the value of the vehicle, others are not.


That said, since PCNA is so fond of mentioning that each dealer is an independent business, PCNA certainly isn't then telling the dealer how to run their business and if the dealer is selling the car to you in the dealers state, another state cannot impose taxation rules on the dealer.
Old 06-18-2010, 04:30 PM
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911FM
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Had the same thing with a PA dealer (non P-car). They collected all the NJ taxes and did all the paperwork for NJ for me, got the plates, registration, etc.

Would be surprised if a reputable dealership is trying to mess around with taxes.

FM
Old 06-18-2010, 05:59 PM
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Not true! I bought mine in New Hampshire which has no sales tax and when registered in Calif I had to pay the Calif tax. If Kansas has a tax when your register in Calif you would pay the diff between the Calif and Kansas only. The vehicle was shipped to me by the way!
Old 06-18-2010, 07:27 PM
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Kuhan
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I know of some people who purposely buy their cars out of state to avoid paying the tax. I guess they are clamping down on this.
Old 06-18-2010, 07:55 PM
  #22  
Edgy01
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Talk to TKIDS--he did that.
Old 06-18-2010, 11:31 PM
  #23  
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Live in NY, bought my last 3 cars in NJ - no tax collected. I just drove off with the certificate of origin, a temporary tag, and paid the sales tax when I registered the car at NY DMV.
Old 06-19-2010, 02:33 AM
  #24  
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i bought a car from bluegrass in KY in 2004
they hired some company to take care of all the reg for me.
all CA DMV fees were on the contract, it was financed.
all i had to do was drive the car to local DMV so they can visual the engine and note that it is a 50 state car.

the tax is to be paid in the state that the car is registered, not purchased.
the dealer should handle all that.
Old 06-19-2010, 03:49 PM
  #25  
Larry Cable
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Originally Posted by 403portside
Hi all,

I'm trying to finish paperwork for a 06 C2S cab I'm purchasing from a Porsche dealership in Kansas.

They seem to be charging fees upfront for what will eventually be sales tax + registration in my home state of CA. I was not expecting this. I thought the rule was that I would pay those fees once I register in CA. Furthermore, the fee is listed as a 'lien fee' and the dealer is saying that Porsche requires that the car be registered in this way.

I will clarify this with them tomorrow but does this sound legit to you?

Thanks for your input.
This is wrong AFIAK ... you are responsible for registering the car in Ca and paying the use tax ...

The only reason they could be doing this is to avoid paying reg fees and taxes in the state in which they are dealing...
Old 06-19-2010, 05:06 PM
  #26  
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Call the DMV. I believe some States do this for other states, but not sure about Kansas. I remember a while back that someone did this and the CA DMV said wasn't the case and that person had to pay CA again and then try and get their money back from the dealership.

I had a dealership hold my VAT refund hostage until I registered to their satisfaction. The excuse was not regarding avoiding taxes, but Porsche tries to prevent out of the country buyers from coming in buying a car and shipping it overseas. Therefore they like to make sure people are registering the cars stateside.

I would call the DMV 2x and see if the 2 responses come back the same!

CA is going to require you to get a Smog certificate before anyone, you or the dealer can register the car and that is going to have to be done in CA!

Best to call the DMV.
Old 06-19-2010, 05:46 PM
  #27  
abe
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Originally Posted by Kuhan
I know of some people who purposely buy their cars out of state to avoid paying the tax. I guess they are clamping down on this.
That is nearly impossible to do...they will get you when you register. The only way you can pay less in taxes is that the seller and buyer agree that the purchase price was less than it was. You pay them the difference in cash and the receipt and pink slip will show a lower amount. This can be done even if you purchase within the state. First, this is fraud but its done. Second, hard to do with dealerships...only done with individual personal transactions. At the end one way or another you will have have to pay some tax at the DMV or AAA if it was not paid in the state you purchased the car.
There is no benefit of tax savings by purchasing out of state if you plan to register the car. You might get away with it if you are purchasing a collectors car that will not be registered.
BTW, the state of CA is so F*cked up that last year they sent letters to over 100,000 small business forcing them to register into a state account. If you buy anything out of Ca and not pay the tax on it....you are liable for criminal prosecution. They are getting very aggressive...and at the same time driving more business away from the state. For those who want to take the high moral grounds....let me ask you...do you pay taxes and declare everything that you purchased on the internet to the state? Thats what they are doing.
Many small business buy many things out of state...and with sales tax over 9.5% in some counties its going to hurt. Ah, when I become King alot of things are going to change!
abe
Old 06-19-2010, 05:58 PM
  #28  
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Purchase or Lease transaction ?

BTW, some states have lower sales tax rates than others on purchase transactions.
You pay use tax on lease transactions.

The dealer in question has sold cars to California buyers for a number of years. I would be surprised if they were in error, but worth verification.
Old 06-19-2010, 06:47 PM
  #29  
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I bought my 2010 C2S from a dealership in AZ (I live in NM). The dealership collected the appropriate NM sales taxes on the transaction and did all of my NM registration paperwork. My new NM license plate was then mailed directly to me. Seamless and I appreciated being able to include all of that in the one deal for the car.



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