Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I am from VA and going to purchase a vehicle in MI and the dealership wants to charge me sales tax on the sale. Ok, here is the confusion and was a bit cleared up from buying out of state cars - do you pay sales tax? however it became a bit off track. So, well, since this is 2014 and I must admit car sales for a good price is getting harder and harder, just like homes now all ofthe sudden and for some unknown reason. An internet deal, and flying and driving home. Anyway, after digging around and on hold with VA DMV several, several times for 30 min plus or dial tone ping I just gave up. I thought the out-of-state purchase price you pay in state taxes where you reside and for the specifics of the bill of sale or title upon the registration. So, I have no problem paying that 4% which seems reasonable compared to other states, yet I don't agree with. How is it that the dealership in MI is going to fork over that tax money they collect at 3%? What pisses me off is the attitudes salesman have, do this, or do that, or go look someplace else for another vehicle (uhhh, and the economy is soooo bad to have that kind of attitude like early 90's again huh). Either be pressured in, or overpay for a vehicle, like here in Richmond area...soooo ridiculously overpriced everywhere for cars. Yeah, I know, supply/demand...B/S how about greed. So, internet, way to go these times. How do I know that the car dealership is really going to pay VA Tax Revenue or who if anyone will go after them from this state for say $600 or so bucks anyway and how do I know my butt is ok when I go to register? I would rather have the right in written proof to pay instate from DMV as mandatory, if available anywhere than let some sleazy car manager stuff his pockets with that money and maintain attitude, more pics at the office with cigars hanging out of mouth at the golf course, like a straight up A$$. On a second note, I was going to have it transported via rig and I know the trucking co. brokered out must have Motor Cargo Ins. that covers the loss 750K to 1mil+, and was told yet again, earlier by sales manager that I have to put coverage on vehicle for insurance or it can't leave the lot. I am confused, cash deal completely, nobody is driving it; would be loaded up and brought here. Why would I need to insure it; would go after the truck co. Yeah, I could see having full coverage, an accident in transit on the truck, and my insurance is like what, you weren't even driving it, go sue that co., no claim, and by the way your bill is due in a week "have a nice day", silence, click, dial tone....His excuse was that MI is a No-fault insurance state and I read up on all that and tort and such of that definition and that just doesn't add-up to any reasoning. I could see if I drove off the lot, providing proof of course, I guess, though still would be my liability. So, what is your take on all this? Sorry for the long writing, this is a good place to vent.
Last edited by Jump_rabbit; 04-30-2014 at 05:48 PM..
You pay sales tax where you bought the car.
You drive her home, you pay registration and license fees. They will be about close to sales tax in your area. Here in WA this is called "convenience" fee. Folks used to drive down to OR to buy car no tax, but they clpamped down on this and you must be OR resident now.
Paragraphs are your friend, very hard to read your7500 miles on it long rant. If you pay sales tax in one state it will be credited in the other state, however, some states don't allow going to another state to save money and then bring the vehicle back.
In California, you can't bring a new car into the state with less than 7500 miles on it or you can't register it. they do that to protect local dealers.
There are exceptions, if you totaled out a car, are in the military, or are moving into the state, etc. If you were to drive out of state to save money or tax, and try to bring it back, you lose...
Larger font size and using paragraphs would be appreciated for any future posts.
You pay sales tax for the state you reside in. Case in point: I purchased an SUV in PA last year (but I live in NJ), so I paid the 7% NJ sales tax vs. 6% PA sales tax. There's NO loopholes or anyway around this, though I'm sure people have tried.
Guessing that you're getting a good deal on the price of the car in MI, due to the depressed economy there?
Sounds to me like the dealer is giving you a real hassle...I'd tell them to kick rocks and look elsewhere... Have you looked in other states like MD or DE??
P.S. Yes, Delaware is a tax-free state, but you can count on paying VA state sales tax if you buy a car here!
When you buy a vehicle out of State, you can pay the tax in that State or you can have them write it up as "Out of State Exempt".
Check with your State's DMV. Most of this is online but here's how I've always seen it (and it's been done when I've purchased vehicles out of State).
Let's say you pay the tax with the vehicle purchase.
- If the State you bought it in charges a higher percentage than your home State, you paid too much and lost that money.
- If you paid the same percentage, you're good to go.
- If you paid a lower percentage, your home State will make you pay the difference.
Let's say you used the "Out of State Exempt" option.
- When you go to register your vehicle in your home State, tax has to be paid to your State's rate. If you paid no tax, you pay the entire percentage. If you underpaid to the other State, you pay the difference.
You will not get a title in your name until tax is paid.
On the insurance, check with your existing agent/company. Any new vehicles purchased are normally automatically covered for 30 days. You just provide a valid insurance card to whomever you're buying the card from and they'll either make a copy or call the insurance provider to confirm coverage.
I am from VA and going to purchase a vehicle in MI and the dealership wants to charge me sales tax on the sale. Ok, here is the confusion and was a bit cleared up from buying out of state cars - do you pay sales tax? however it became a bit off track. So, well, since this is 2014 and I must admit car sales for a good price is getting harder and harder, just like homes now all of the sudden and for some unknown reason. An internet deal, fly, buy and drive. Anyway, after digging around and on hold with VA DMV several, several times for 30 min plus or dial tone ping I just gave up. I thought the out-of-state purchase price you pay in state taxes where you reside and for the specifics of the bill of sale or title upon the registration. So, I have no problem paying that 4% which seems reasonable compared to other states, yet I don't agree with. How is it that the dealership in MI is going to fork over that tax money they collect at 3%? What pisses me off is the attitudes salesman have, do this, or do that, or go look someplace else for another vehicle (uhhh, and the economy is soooo bad to have that kind of attitude like early 90's again huh). Either be pressured in, or overpay for a vehicle, like here in Richmond area...soooo ridiculously overpriced everywhere for cars. Yeah, I know, supply/demand...B.S. how about greed. So, internet, way to go these times. How do I know that the car dealership is really going to pay VA Tax Revenue or who if anyone will go after them from this state for say $600 or so bucks anyway and how do I know my butt is ok when I go to register? I would rather have the right in written proof to pay instate from DMV as mandatory, if available anywhere than let some sleazy car manager stuff his pockets with that money and maintain attitude, more pics at the office with cigars hanging out of mouth at the golf course, like a straight up A$$.
On a second note, I was going to have it transported via rig and I know the trucking co. brokered out must have Motor Cargo Ins. that covers the loss 750K to 1mil+, and was told yet again, earlier by sales manager that I have to put coverage on vehicle for insurance or it can't leave the lot. I am confused, cash deal completely, nobody is driving it; would be loaded up and brought here. Why would I need to insure it; would go after the truck co. Yeah, I could see having full coverage, an accident in transit on the truck, and my insurance is like what, you weren't even driving it, go sue that co., no claim, and by the way your bill is due in a week "have a nice day", silence, click, dial tone....His excuse was that MI is a No-fault insurance state and I read up on all that and tort and such of that definition and that just doesn't add-up to any reasoning. I could see if I drove off the lot, providing proof of course, I guess, though still would be my liability. So, what is your take on all this? Sorry for the long writing, this is a good place to vent.
I should point out that all replies so far have not answered my questions. I have made the original in bigger font, and reformatted it from my previous, it was nice looking yesterday until I took the copy/paste back from word as a final corrector and with a screaming baby could only afford so much ample precious time taking out all the code junk and the butchering of my original format. I am new to blogging. Thanks for the replies though and the information can be helpful to others, I guess. Specifically, don't overlook my post and what I have wrote and rant on about something else and grammar mistakes b/c you make yourself look ignorant in copious amounts....like your7500 miles rant or whatever it was.
No, you pay the tax in the state where you live. If you buy from a dealership in a neighboring state that is set up to register vehicles in the state where you live you would actually make the payment in the state where you buy the car, but the funds go to your state and the rate is your state's rate.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Thread
