Paying Sales Tax and Registering Car in Houston (Howe, Montgomery: car registration, insurance)

[BoltJam3s]

Hello guys,

I purchased a new vehicle from an out of state dealer (Ohio). The dealer didn't collect sales tax on the vehicle and provided a 45 day temporary Ohio tag.

I am trying to pay the sales tax in Houston, but I am having a hard time with it. I called the Harris County Tax Office and they are saying I need the title to the vehicle and the registration.

The issue is that the title is with the lienholder/bank and they are refusing to release it until I pay off the car. The car is new so it hasn't been registered before (no registration other than temporary).

Can anyone tell me how I can get my vehicle registered in Houston? I have the following things done:

Obtained Texas insurance. Performed state inspection.

Thanks for any insight you guys can provide!

[WRM20]

Get to a DMV location. That's where you do all of this. You may not have to transfer title to Texas, but look at the website https://www.txdmv.gov/

[BoltJam3s]

Originally Posted by WRM20

Get to a DMV location. That's where you do all of this. You may not have to transfer title to Texas, but look at the website https://www.txdmv.gov/

Thanks for the reply. I did go to a DMV location, but I was told that I need to go to the local county tax office instead as I am not switching the title.

They said it's the county office that handles vehicle registration.

[WRM20]

Try asking the lender for a non-negotiable copy of the title to show to the tax office. I guess they just want proof you own the vehicle.

[resonator]

I use (small fee) independent DMV substations. No hassle, and their computers tie in with the state's.


There was really no other way last summer during the mile long dmv outdoor lines to get in.


Locations are listed on the dmv website.

[BoltJam3s]

Originally Posted by WRM20

Try asking the lender for a non-negotiable copy of the title to show to the tax office. I guess they just want proof you own the vehicle.

Yep- exactly. They are asking for proof that I own the vehicle. The bill of sale and other dealer documents are not good enough for them.

I'll ask the lender for a non-negotiable copy of the title. If they are able to send this then I definitely owe you a beer!

[RMESMH]

I corrected one word on my original post, and when I clicked save, my laptop battery hit zero percent at that moment and went dark. Once back up, saving the change created a second post with the one word correction, so I'm changing the original post to this explanation.

[RMESMH]

Originally Posted by BoltJam3s

Thanks for the reply. I did go to a DMV location, but I was told that I need to go to the local county tax office instead as I am not switching the title.

They said it's the county office that handles vehicle registration.

^^^^^

This is correct.

I bought a new car in another state (cash) since moving to Texas (zero available in Texas re one equipment requirement).

The other state has a slightly higher tax rate than Texas, and differs not only by county but with different rates for different tiered amounts (first 5k is one percentage, and so on). The dealership knew that I lived in Texas, but charged me the local amount (I thought I was supposed to pay the local amount).

The tax office in Montgomery County told me that was wrong....that the dealer can collect it, but that they are supposed to collect the correct Texas amount.

Unless this has changed recently, the correct Texas amount for cars is the base state rate.

My understanding is that it is the base rate statewide so that an advantage isn't given to dealers in areas that don't charge the maximum allowable additional local percent (which is two percent), and so that people don't try to game a registration address that is in a flat base state rate area with no local percent added.

The Montgomery County Tax Office rep completed my paperwork and told me that I didn't owe them anything, and that I had overpaid the dealer re the dealer charging the dealership's local rate in that state. She even calculated the amount for me and told me to call the dealer and get them to refund that amount. I ended up not having to do that because when I grabbed my mail that day, there was a check in the mail from the dealership. Their accounting department caught the mistake. The 'tiering' wasn't calculated correctly, but it was only short under twenty dollars (not enough to call about and worry about following up on), so I deposited the check.

[Seguinite]

They certainly can make it difficult for non-standard actions. Not entirely sure why car registration isn't a national thing. That would probably make EVERYTHING harder, but at least the rules would be consistent.

[shanv3]

Originally Posted by BoltJam3s

Hello guys,

I purchased a new vehicle from an out of state dealer (Ohio). The dealer didn't collect sales tax on the vehicle and provided a 45 day temporary Ohio tag.

I am trying to pay the sales tax in Houston, but I am having a hard time with it. I called the Harris County Tax Office and they are saying I need the title to the vehicle and the registration.

The issue is that the title is with the lienholder/bank and they are refusing to release it until I pay off the car. The car is new so it hasn't been registered before (no registration other than temporary).

Can anyone tell me how I can get my vehicle registered in Houston? I have the following things done:

Obtained Texas insurance. Performed state inspection.

Thanks for any insight you guys can provide!

Go to cpunty tax office. Also since the lender possesses the title, they should ask your consent to transfer it to thier name and then give you an updated title with a lien on it. Thats how i got it. However pls check with your lender. I font remember if i registered first or the lender.