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Old 07-14-2015, 02:10 PM
 
4 posts, read 3,557 times
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I am a CA resident and bought a brand new BMW in CA about a month ago.
Now I have to move to Cambridge, MA mid-August for grad school.

As I checked the process to register my car in MA, I found that I should pay MA sales tax on my car even though I paid sales tax in CA, because the car is purchased here within 6 months.

Is it correct? Are there any ways that I can avoid paying sales tax TWICE?
I am mad at this stupid, complicated tax system that is purely built to rip off individuals.
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Old 07-14-2015, 02:26 PM
 
Location: Massachusetts & Hilton Head, SC
10,022 posts, read 15,665,421 times
Reputation: 8669
I don't believe that's how it works. You do have to prove that you've paid sales tax in California.
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Old 07-14-2015, 02:47 PM
 
4 posts, read 3,557 times
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Quote:
Originally Posted by CaseyB View Post
I don't believe that's how it works. You do have to prove that you've paid sales tax in California.
Hey I just made a call to MA RMV.
They said I got to pay 6.25% sales tax haha. What a rip off!
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Old 07-14-2015, 02:52 PM
 
Location: 42°22'55.2"N 71°24'46.8"W
4,848 posts, read 11,812,501 times
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Same thing happened to me. I remember paying sales tax on a new car I purchased in Atlanta a few months before I moved here. For me it was a permanent move, so there was no way around it. If I were you, I'd just leave the car registered in CA if you are a full time grad student. You're not working, so you're probably still supported by your parents right? Just change the registered address of your car to their permanent address and you're all set. Leave the CA plates and insurance on it the way it is.
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Old 07-14-2015, 03:13 PM
 
4 posts, read 3,557 times
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Quote:
Originally Posted by Parsec View Post
Same thing happened to me. I remember paying sales tax on a new car I purchased in Atlanta a few months before I moved here. For me it was a permanent move, so there was no way around it. If I were you, I'd just leave the car registered in CA if you are a full time grad student. You're not working, so you're probably still supported by your parents right? Just change the registered address of your car to their permanent address and you're all set. Leave the CA plates and insurance on it the way it is.

Thanks for your opinions.
Do I get pulled over by driving with CA plate on?
What about the insurance company? Would they still cover me, even if I drive in MA?
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Old 07-14-2015, 03:34 PM
 
Location: 42°22'55.2"N 71°24'46.8"W
4,848 posts, read 11,812,501 times
Reputation: 2962
I had NJ license, address, and insurance, but I went to school in Atlanta. I got into 2 accidents in college and they were both covered. They didn't even ask what I was doing in Atlanta, but YMMV. As long as you have a CA license then you are fine. It seems like 10% of cars in Boston/Cambridge don't have MA plates anyways because it's such a transient city.

BTW if you are under 25 and your parents can claim you on their tax return, this is 100% legit no doubt about it. The law only becomes gray when you are no longer considered a dependent. IMO even if you are over 25 I think being a full time grad student is still a legitimate reason to use your parents address and keep your CA plates though. I am sure a few members here have been in a similar situation so they will chime in soon.
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Old 07-14-2015, 05:13 PM
 
Location: Massachusetts & Hilton Head, SC
10,022 posts, read 15,665,421 times
Reputation: 8669
If you are a student then your parents can have you on their policy and you can keep your car registered in California. They have to tell the Ins. Co. where you are going to school and provide them with the address.

The problem you may run into is parking on the street. Places like Cambridge & Somerville require you to have your car registered there in order to get a parking sticker.
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Old 07-14-2015, 05:34 PM
 
4 posts, read 3,557 times
Reputation: 10
Quote:
Originally Posted by CaseyB View Post
If you are a student then your parents can have you on their policy and you can keep your car registered in California. They have to tell the Ins. Co. where you are going to school and provide them with the address.

The problem you may run into is parking on the street. Places like Cambridge & Somerville require you to have your car registered there in order to get a parking sticker.

Well, actually I am an independent married guy and will be living in a family dorm at my school. My wife will stay in LA for some time and join me later next January.

I guess I can just leave my car registration and plates as it is for some time and change them once I pass "6-month" period so that I don't have to pay stupid sales tax again in MA.

About the parking, I will get a parking sticker at school. I don't know if they would require me MA registration for the parking. I will check on that. Thanks for the advice.
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Old 07-14-2015, 05:51 PM
 
Location: Massachusetts & Hilton Head, SC
10,022 posts, read 15,665,421 times
Reputation: 8669
Ok, well you aren't going to be pulled over just for driving CA plates.

Also, you don't need a car in the Cambridge area. It might be easier to just take the subway around until your wife joins you. Then it will be beyond the 6 months anyway.
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Old 07-14-2015, 06:40 PM
 
Location: 42°22'55.2"N 71°24'46.8"W
4,848 posts, read 11,812,501 times
Reputation: 2962
Glad it's going to work out for ya. I agree, at least leave the CA plates on there until the 6 month period is over.

BTW I just looked at my paperwork. I registered my new car in MA almost exactly 6 months after I bought it. If I had waited another week I wouldn't have had to pay over $1000 in sales tax. I had no idea back then!
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