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Old 05-11-2019, 10:45 AM
 
69 posts, read 144,642 times
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As a Virginia resident, I am required to pay the State taxes as well as the annual property (house) taxes. I am okay with those taxes.
Now, when I purchase a new car, I am obligated to pay the sale tax at 4.35% of the sale price. Why am I required to pay additional taxes on the same car annually? Is that legal? Or do we all need to contact our local representatives for explanations?

Last edited by Sabsyop; 05-11-2019 at 11:50 AM..
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Old 05-11-2019, 11:23 AM
 
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It's legal.

Also, you will also have to pay tax on your car twice a year. As the car depreciates, the tax will drop.
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Old 05-11-2019, 11:52 AM
 
69 posts, read 144,642 times
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Why pay taxes on a vehicle I already paid taxes on already? That’s unfair and seems like a total rip-off by the State...
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Old 05-11-2019, 12:50 PM
 
12,906 posts, read 15,668,560 times
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It's a personal property tax. Some states have it, some don't. If you don't like it, probably shouldn't live in Virginia.

I will say this, states go about various ways to get the tax money they need. Virginia decides to get some of it through car ownership.

When I lived in the state of Maryland, we did not have personal property tax on cars. However, my state payroll tax (and an added piggyback county tax) ultimately resulted in higher state tax overall for me. When I moved from Maryland, I was making $40,000 per year and coming into Virginia, my net pay increased by $75 per pay period over 26 pay periods a year. Significant. Granted, I had to turn around a pay personal property tax on my cars, but I came out ahead even with that.
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Old 05-11-2019, 01:40 PM
 
Location: Maryland
2,269 posts, read 1,642,081 times
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Yeah. I live in Maryland too and, though there is no personal property tax, they get you another way. That way is ... when you figure out your state tax, you look up the county of your residence and then add 50% (for my county) of your state tax bill to the total.
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Old 05-11-2019, 01:58 PM
 
22,475 posts, read 12,014,567 times
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I have relatives who live in a state with a high sales tax. They were surprised as to how low VA sales tax is compared to their state. I pointed out to them that they don't have to pay property taxes on their car. So...basically you pay one way or the other.
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Old 05-11-2019, 02:09 PM
 
439 posts, read 426,066 times
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After researching for retirement all states do get you in one way or another. We were excited about Williamsburg until they raised their sales tax to 7%. MD is 6% and no tax on groceries or personal property tax. However, property tax are higher. And, no Ira exclusions.
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Old 05-11-2019, 03:27 PM
 
Location: Arlington, VA
2,021 posts, read 4,619,147 times
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God another post on the car tax. Why is this such a hang-up as of late? It's been this way in Virginia forever. You can always live in Maryland and pay no property tax on your car - you'll still get to pay higher taxes across the board on just about everything else.
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Old 05-11-2019, 04:29 PM
 
69 posts, read 144,642 times
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It all makes sense to me now. I moved from Massachusetts and relocated to VA because I thought taxes were okay here, but I get your points now. Thank you all for your expedited replies.
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Old 05-11-2019, 04:38 PM
 
9,879 posts, read 14,139,423 times
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Quote:
Originally Posted by Sabsyop View Post
It all makes sense to me now. I moved from Massachusetts and relocated to VA because I thought taxes were okay here, but I get your points now. Thank you all for your expedited replies.
According to your posting history, you have been in Virginia for 4+ years. Are you just now paying your personal property taxes?
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