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Old 02-02-2012, 06:23 AM
 
332 posts, read 990,540 times
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Can anyone give me the sales tax rate on vehicles in Illinois? I live in NJ and am considering buying from a dealer out there because the vehicle is priced about $2000 lower than I can find around here. Shipping would only be $400. Our sales tax rate here is 7%, so I would pay $1330 in taxes here. If the sales tax is the same or higher in Illinois forget it, but could it be lower?
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Old 02-02-2012, 07:25 AM
 
Location: Not where you ever lived
11,535 posts, read 30,257,297 times
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The Tax depends on the county. Chicago taxes are pretty scary. If you are going to ship to NJ, I don't believe you pay and IL sales tax. I paid for a $5 drive away temporary tag. I think it was good for 14 days. The Illinois dealer's finance office or bookkeeper should be able to tell you the exact tax for your vehicle before you ever buy it. .
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Old 02-03-2012, 11:09 AM
 
Location: Portland OR
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Linicx is correct. I don't think u will have to pay sales tax in IL as you will register it in NJ.
NJ will want the $, not IL.
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Old 02-03-2012, 11:16 AM
 
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I'm virtually certain that you pay sales tax where you reside for cars.
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Old 02-04-2012, 03:12 AM
 
Location: Chicago
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Yep. You don't pay IL sales tax unless you register the car in IL. How much tax you'll pay is up to the state of New Jersey.
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Old 02-04-2012, 05:12 PM
 
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Illinois has reciprocal agreements with 41 of the 49 other states waiving Illinois sales tax on vehicle purchases from Illinois dealers by non-residents. In turn, Illinois residents are exempt from pay sales tax in those states when they purchase a vehicle in those states.
New Jersey is one of those 41. You will have to pay tax in New Jersey when you go to license and title the vehicle. You should be asked to present them your copy of the Illinois sales tax form # ST-556 which shows the amount subject to tax.

For residents of the other 8 states who purchase a car from a dealer here, Illinois does collect sales tax equal to the lesser of the Illinois state rate or the prevailing sales tax rate of the buyer's home state. Indiana is one example.

Last edited by madpaddy; 02-04-2012 at 05:55 PM..
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