Relocating and "Title Ad Valorem Tax" (Atlanta, Alpharetta: section 8, leases)
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I don't know much about the Ad Valorem tax, but I think you will be hit with a 7% tax. I would do everything I could to delay my purchase till you move to Ga. Much discussion of this. Search for Ad Valorem
Thanks. I'll take a further look at old discussions on the board. We're considering the option of renting a car until we can purchase one there, or flying down there and buying a car and driving it back up here, but both options will be quite expensive so negates much of the savings from not being double taxed...
Another idea: What if we purchased a vehicle in Indiana or Wisconsin, obtained the 30-day tags for out of state purchasers, and then drive the car down to Georgia to register and pay the tax there?
Another idea: What if we purchased a vehicle in Indiana or Wisconsin, obtained the 30-day tags for out of state purchasers, and then drive the car down to Georgia to register and pay the tax there?
Are you sure that Indiana and/or Wisconsin doesn't collect sales tax on behalf of Illinois? If they don't, this sounds like your best shot.
If I were you, I would contact the Georgia Department of Revenue. Ask them the question as if you had already made the purchase- "I'm moving from IL to GA in the next few weeks and I have just bought a vehicle in (WI or IN). I haven't registered it in IL since I'm moving, will that cause any problems registering it in GA?"
That's just my two cents. You don't want any nasty surprises.
For the record, TAVT for new residents bringing a vehicle into the state, you have to register it within 30 days. 50% of the TAVT (7%) is due at that time and the balance is due within 12 months.
Also keep in mind that you'll need a Georgia Driver's License to be able to register the car. If you haven't reviewed the procedures for that, you should. They require a lot of documentation and many people aren't prepared for it.
In particular-
Proof of ID- You'll need an Original or Certified Birth Certificate OR U.S. Passport (valid or expired less than 10 years)
Proof of SSN- SS Card, prior year tax returns, etc.
Proof of residence- Two documents from this category are required. Your lease or mortgage can serve as one (if applicable) and your auto insurance policy can serve as the second.
See link below for full list of documents that meet the requirements-
Are you sure that Indiana and/or Wisconsin doesn't collect sales tax on behalf of Illinois? If they don't, this sounds like your best shot.
If I were you, I would contact the Georgia Department of Revenue. Ask them the question as if you had already made the purchase- "I'm moving from IL to GA in the next few weeks and I have just bought a vehicle in (WI or IN). I haven't registered it in IL since I'm moving, will that cause any problems registering it in GA?"
That's just my two cents. You don't want any nasty surprises.
For the record, TAVT for new residents bringing a vehicle into the state, you have to register it within 30 days. 50% of the TAVT (7%) is due at that time and the balance is due within 12 months.
Also keep in mind that you'll need a Georgia Driver's License to be able to register the car. If you haven't reviewed the procedures for that, you should. They require a lot of documentation and many people aren't prepared for it.
In particular-
Proof of ID- You'll need an Original or Certified Birth Certificate OR U.S. Passport (valid or expired less than 10 years)
Proof of SSN- SS Card, prior year tax returns, etc.
Proof of residence- Two documents from this category are required. Your lease or mortgage can serve as one (if applicable) and your auto insurance policy can serve as the second.
See link below for full list of documents that meet the requirements-
BTW, to register the car, you'll need GA auto insurance coverage. If you need more info, let me know.
Additionally, if moving with someone who has ever changed their name (marriage, etc) you must have documents of every name change from birth unless you have a passport. My mother had to order a marriage certificate from 1972 in Virginia to get a GA drivers license...took longer than 30 days...couldn't title vehicle in 30 days....hit with a late fee. Good luck. I like living here, but you would think Georgia doesn't want new residents with the laws regarding TAVT here.
Additionally, if moving with someone who has ever changed their name (marriage, etc) you must have documents of every name change from birth unless you have a passport. My mother had to order a marriage certificate from 1972 in Virginia to get a GA drivers license...took longer than 30 days...couldn't title vehicle in 30 days....hit with a late fee. Good luck. I like living here, but you would think Georgia doesn't want new residents with the laws regarding TAVT here.
The TAVT and the Driver's License laws are two separate items, but I understand your point. The intense (insane) documentation requirements for Driver's License went into effect at the beginning of 2012, if I'm not mistaken. I was thrown for a loop when I went to renew my license in February 2014 and they wanted all of that documentation. Never mind that I've lived in GA my entire life and had a GA Driver's License since 1991, when I turned 16. At that time, they would not accept an expired US Passport (mine had expired two months earlier) and getting a Certified Copy of my Birth Certificate (living in the county where I was born) was a major hassle!
The TAVT is actually a very good thing for GA residents who purchase a new or used car from a dealer. It effectively replaced Sales Tax (TAVT is currently 7% and I live in one of the few counties with 6% Sales Tax). But over the course of seven years on an average $35k car, the savings in annual Ad Valorem tax will be as much as $2400!
Prior to the TAVT, private (person-to-person) used car sales were not subject to Sales Tax. Inherited cars are also subject to TAVT if it has never been paid on that vehicle. New residents who bring a car into the state are the ones who get hit the hardest, unfortunately. I know a family that is currently in the process of moving from IL to GA and just paid for the annual tags/registration less than two months ago.
But I totally agree with your overall sentiment that they don't make it easy to comply with the all of the Driver's License and Vehicle Registration requirements in the first 30 days of residence. In addition to moving your household and starting a new job and getting your kids enrolled in their new schools, you have all of these other things to do! You have to get the Driver's License first, purchase insurance for the vehicle (if your insurer can't transfer your policy to GA, which is often possible but not the best rate by a long shot) before you can proceed with paying the TAVT and having the car titled and a tag issued.
Also keep in mind, if your car is financed, your bank may have an issue with a title not being issued within 30 days of buying a vehicle. ALSO, if your car is LEASED, you must let the leasing company know in advance of the move because they have a procedure to transfer the lease to Georgia and deal with applicable taxes and other requirements.
Thanks. I'll take a further look at old discussions on the board. We're considering the option of renting a car until we can purchase one there, or flying down there and buying a car and driving it back up here, but both options will be quite expensive so negates much of the savings from not being double taxed...
I'm not sure how long you think you would need a rental or if you would only need it to make the trip down? How large does the vehicle need to be (# passengers)? Also, will you be moving your belongings or having a moving company do that for you?
Enterprise and Hertz both have much better rates than the other major agencies for one-way rentals, based on what I found. For a one-week (Sat to Sat) rental of a mid-size (they call it a full-size) car such as a Ford Fusion or Chevy Malibu, the one-way rates are as followed (and I picked the pick-up and drop-off locations arbitrarily since I don't know where you would be renting and dropping off)-
Enterprise
Renting in Westmont, IL 60559
Returning to Marietta Square, Marietta, GA 30064
$437/week
Hertz
Renting in Downers Grove, IL
Returning to Atlanta Airport
$372/week
Enterprise also offers Long-term Car Rentals for periods of 30-days or more. The number to call for info about this program is 1-800-209-3602.
Hertz offers a multi-month program for renting at least 63-days. They probably also have a monthly program. Their number is 1-800-654-3131.
I understand that you don't want to rushed into a car buying decision if you wait until you move to GA. But if you already know what kind of car you want OR shop around in IL to figure out what you like, you could nail down a pretty good deal using TrueCar.com for the car here in GA. Of course, that only applies if you're buying a new car. If you're planning to buy a used car, then it isn't as simple and you would need to wait until you got here to shop around for the right car at a good price. No matter what you do, DO NOT let the dealership/salesperson know that you are in a rush to buy because you are renting, etc.
BTW, I'm not endorsing the rental companies mentioned above, just stating the fact that they have much lower one-way rental rates than other major rental companies. I personally prefer Budget, but the same car mentioned above would cost $1308!!! Obviously, they're not the best choice in this situation.
If I can do anything to help (whether it's finding the best rental rates from/to another point in IL and/or GA, auto dealer reputations in the Atlanta area or even which cars might be the best deal right now, I'll be happy to help if I can!) .
I'm not sure how long you think you would need a rental or if you would only need it to make the trip down? How large does the vehicle need to be (# passengers)? Also, will you be moving your belongings or having a moving company do that for you?
Enterprise and Hertz both have much better rates than the other major agencies for one-way rentals, based on what I found. For a one-week (Sat to Sat) rental of a mid-size (they call it a full-size) car such as a Ford Fusion or Chevy Malibu, the one-way rates are as followed (and I picked the pick-up and drop-off locations arbitrarily since I don't know where you would be renting and dropping off)-
Enterprise
Renting in Westmont, IL 60559
Returning to Marietta Square, Marietta, GA 30064
$437/week
Hertz
Renting in Downers Grove, IL
Returning to Atlanta Airport
$372/week
Enterprise also offers Long-term Car Rentals for periods of 30-days or more. The number to call for info about this program is 1-800-209-3602.
Hertz offers a multi-month program for renting at least 63-days. They probably also have a monthly program. Their number is 1-800-654-3131.
I understand that you don't want to rushed into a car buying decision if you wait until you move to GA. But if you already know what kind of car you want OR shop around in IL to figure out what you like, you could nail down a pretty good deal using TrueCar.com for the car here in GA. Of course, that only applies if you're buying a new car. If you're planning to buy a used car, then it isn't as simple and you would need to wait until you got here to shop around for the right car at a good price. No matter what you do, DO NOT let the dealership/salesperson know that you are in a rush to buy because you are renting, etc.
BTW, I'm not endorsing the rental companies mentioned above, just stating the fact that they have much lower one-way rental rates than other major rental companies. I personally prefer Budget, but the same car mentioned above would cost $1308!!! Obviously, they're not the best choice in this situation.
If I can do anything to help (whether it's finding the best rental rates from/to another point in IL and/or GA, auto dealer reputations in the Atlanta area or even which cars might be the best deal right now, I'll be happy to help if I can!) .
Thanks very much for all of this useful information. I think even with a new vehicle we aren't comfortable showing up at a dealership we've never been to before and trusting them to have what we requested available for us there at the price from TrueCar. It's possible we may need to order a vehicle so we'll get exactly the specifications we'd like, and it sounds like that process could take 8-12 weeks(?) on top of the time shopping around for the right dealership and the right price.
You can thru the dealer's Internet department "Shop" for your car from IL, You can Shop several Dealerships, Work out the price and allow them the lead time to find it and get it there.
If you have question the reputation / Trust Factor on any Specific Dealer, you can Post (I would go for the Atlanta Sub/Forum, I believe you are looking in the Northern suburbs of ATL )
The time for a factory order varies based on manufacturer and sometimes WHERE it is manufactured. But 8-12 weeks is a fair estimate and some are shorter.
The way most non-luxury brand cars are sold today, it's very likely that a dealer will be able to locate rather than order a car for you. Honda doesn't offer any factory options, just different trim levels with a package of features and if you want one, you take all of them. Option packages are the norm for most other makes, including Ford and GM.
My best friend is in the process of ordering his next company vehicle (which he gets every 60k miles of 24 months, lucky jerk). He lives in Pittsburgh and wants a Ford Escape or Fusion with All-Wheel-Drive. There are a handful of individual options, but some of those require that a certain package be selected. And if you want Package X, then Package Y is a prerequisite.
My point is that there aren't that many different ways to configure most cars, unlike the way car buying was in the past. I remember when my mom bought her new 1986 Oldsmobile Cutlass Supreme Coupe (I was 10). It had a laundry list of options- tilt steering was an item, power door locks were another, and the wheels, then the white letter tires....there were at least 30 individual options on the car. When cars were available like that, there were an infinite number of combinations (and lack of nationwide inventory at your fingertips) that often required you to order a car to get what you wanted.
In any case, I agree that you shouldn't feel rushed to make a decision. As for finding a dealer you can 'trust' and feel comfortable with, I've only found one and I've lived here all of my 41 years! It was a Honda dealer in Roswell, GA....then I developed a thing for Mazda instead. I've bought two new ones in the last 10 years, a 2006 Mazda3 and a 2012 Mazda CX-9 and I bought them at different dealers and don't care for either one. I was very unhappy with the sales practices of another Mazda dealer and refused to buy a car from them. But it turns out that they have a great service department with guys who actually know what they're doing!
My grandfather was a car dealer (co-owned a Ford dealership in our small town with his brother and another partner for many years). So I'm naturally distrustful!
Back to the idea of long-term rental. Perhaps one of those multi-month rental deals could work out for you. A lot of the rental companies allow you to change vehicles during the time period (one or more months), so you can find something that will fit, at least for a while. There's nothing worse than being stuck with a rental car that you don't like and I'm sure that's only magnified if it's a long-term rental.
Are you moving to the northern suburbs of Atlanta? I grew up in the outer stretches of the north/northeast Atlanta suburbs (Cherokee County). I actually still live there, just further north in the county.
My wife and I are thinking of retiring to Georgia... (Johns Creek, Alpharetta, Athens?) from NJ. I'm 60 and my wife is a few years younger. Our kids are almost finished with college.
We both drive expensive cars, I have a 2016 Porsche MacanS (owned) and my wife drives a leased 2017 E300 Mercedes.
What kind of bill, tax do we have to pay on the cars? How does it work on owned vs. leased cars?
As it is we're trying to get away from the high NJ property tax we currently pay.. $19k a year. I know we'll save on property tax but if we start adding in a bunch of other taxes....???
TIA
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Ad valorem tax help
