Private Party tax...(50949th question on subject) (Cave Creek: sales, home)

[joshj84]

Hey guys...

So I bought a car in California while I've been living here.. I haven't registered it yet because I have been working on a cruise ship. Now Its insured in Arizona and my parents live in arizona.. Since I bought this car Private Party in California and haven't registered it yet, can I bring it to AZ and register it there without having to pay sales tax?

[ReadyFreddy]

Sales tax? I'd say yes. Even if you bought it from a private party in AZ, you wouldn't owe sales tax, as far as I know.

[ji603]

No sales tax due. This always throws Californians for a loop.... that our state would not tax a private party sale, paid for with after tax dollars, on a piece of property that was taxed once by the government when it was first sold! There's no additional tax due, other than the VLT and the plate fee when you register it at the DMV.

[Rick Lee]

Originally Posted by ji603

that our state would not tax a private party sale, paid for with after tax dollars, on a piece of property that was taxed once by the government when it was first sold!

Well, AZ doesn't have a problem levying this tax on pre-owned vehicles sold by dealers. I'm happy about not having to pay sales tax on private party sales, but it's pretty unfair to the dealers. Even if the dealers didn't charge a few hundred in doc fees, they still need to be more than 9% better in price just to compete with the private party sellers.

Anyway, I have a question about this. I'm shopping for another motorcycle that seems to grow on trees in other states, but not in AZ. I may have to go the out-of-state dealer route. And I know that means I'll pay sales tax to someone. IF the out-of-state dealer does not collect sales tax, when I then register it in AZ, do I only pay the state sales tax of 6.6%? Or would I be on the hook for the add'l. 3% Cave Creek charges because I live in Cave Creek? Price range is around $15k and I may not be doing a trade-in. So this could sting a little.

[Bummer]

Originally Posted by Rick Lee

Anyway, I have a question about this. I'm shopping for another motorcycle that seems to grow on trees in other states, but not in AZ. I may have to go the out-of-state dealer route. And I know that means I'll pay sales tax to someone. IF the out-of-state dealer does not collect sales tax, when I then register it in AZ, do I only pay the state sales tax of 6.6%? Or would I be on the hook for the add'l. 3% Cave Creek charges because I live in Cave Creek? Price range is around $15k and I may not be doing a trade-in. So this could sting a little.

Good question, Rick . . .

Back in 2005, I purchased a NEW vehicle from a dealer in Illinois. Obviously I wanted / needed it registered in Arizona, not Illinois, so I drove it home with only the properly signed and notarized "Vehicle Birth Certificate" and an In-Transit Paper Plate.

Once home, I hit the local MVD and was pleasantly surprised to hear that I was only required to pay the 5.25% Arizona Sales Tax, not the almost 9% State, County and City Tax. Doesn't seem like a big deal but it was to me considering the Window Sticker Price was just shy of $50k. In fact, the savings in Sales Tax alone more than paid for my entire trip including the First Class Air Ticket.

Hopefully, for your sake, the law has not changed since 2005.

GOOD LUCK