Community Forums

Pgustaf249 · 09-09-2013, 12:54 PM

I live in a state that has a cap on the amount of sales tax a person pays on a motor vehicle. That may save a couple of thousand dollars on a car purchase and even more on an RV. When buying an RV outside of my state will I be paying my state sales tax, the sales tax of the state where it's purchased or both?

wnytaxman · 09-09-2013, 12:57 PM

Quote:

Originally Posted by Pgustaf249

I live in a state that has a cap on the amount of sales tax a person pays on a motor vehicle. That may save a couple of thousand dollars on a car purchase and even more on an RV. When buying an RV outside of my state will I be paying my state sales tax, the sales tax of the state where it's purchased or both?

To a certain extent, it will depend on what state you purchase the motorhome in. For example, here in NY, you would pay your state's sales tax. I think you will find that is the case in most states.

Mr_D · 09-09-2013, 01:02 PM

Here in WA you pay the sales/use tax when you register the vehicle. Even if you live out of state, bought the RV years ago then move here you pay the tax. There used to be an exemption if bought out of state and later moved here, but no longer. You do get an exemption for the amount of tax paid in another state though.

Clayobx · 09-09-2013, 01:04 PM

We purchased our Providence in FL. While we were living in NC. The cap was $1500.00, very nice. However, in NC you pay personal property tax. Our first bill was $2600.00 and would continue year after year. We moved back to Fl.

PyrateSilly · 09-09-2013, 01:26 PM

If you buy the RV from a private person in AZ then no sales tax. Getting it registered in another state is another kettle of fish, lol.
I know with the agreement that MI has with CA (not sure about other states) if you buy from a dealer/private person then you pay all the sales tax, registration and tag fees for CA and MI will get their cut and CA keeps the rest. Or that is how it's supposed to work if the dealer knows what they are doing.

FlyingDiver · 09-09-2013, 01:40 PM

Generally, you pay the sales tax in the state you take delivery, then you get a credit for that amount in your own state when you register the vehicle. If your state is more, you pay more. But it's really dependent on the state you buy it in. Some dealers will arrange to make delivery out of state to avoid the issue. In our case, we were Texas residents, purchased from a dealer in Florida, and took delivery in Indiana. We paid FL tax (6%) to the dealer at the time of purchase, then the difference (6.25% - 6% = 0.25%) to Texas when we registered the RV.

1ciderdog · 09-09-2013, 01:57 PM

I bought my Mini in California but had to have it delivered out of state to keep from paying California sales tax. I register my vehicles in Oregon (no sales tax). Paying a delivery saved dollars.

Grimesy · 09-09-2013, 02:00 PM

Bought my last rig in Oregon which has no sales tax but when I registered it in CA I paid the full boat. In the neighborhood of 10 % with tax and lic. Taxes vary from county to county so if your county tax is higher than the county of purchase you will get a bill and in some cases penalties.

Don G.

Cat320 · 09-09-2013, 04:43 PM

Quote:

Originally Posted by FlyingDiver

....Generally, you pay the sales tax in the state you take delivery, then you get a credit for that amount in your own state when you register the vehicle....

Not necessarily. I was career military and have lived all over the country. My experience has been you pay the tax where you tag it, not where you purchase it.

FlyingDiver · 09-09-2013, 04:45 PM

Quote:

Originally Posted by Cat320

Not necessarily. I was career military and have lived all over the country. My experience has been you pay the tax where you tag it, not where you purchase it.

Like I said, depends on the state. And I expect the state laws on this have changed a lot over the years, as the states look for revenue wherever they can. I wouldn't put much stock on experiences more than 10 years ago.

TXiceman · 09-09-2013, 05:28 PM

In Texas, if you paid less than the state rate, they will collect the difference if you paid less on any vehicle you register...if you paid more, you do not get money back.

Ken

Mr_D · 09-09-2013, 05:32 PM

Quote:

Originally Posted by Cat320

Not necessarily. I was career military and have lived all over the country. My experience has been you pay the tax where you tag it, not where you purchase it.

Special rules apply for military, just like for drivers licensing.

bailiff · 09-09-2013, 06:03 PM

We purchased a new car last year here in Florida for our son who lives in Washington State. The dealer was able to collect the sales tax for Washington State at the time of delivery and their business office got the plates in time for us to drive it to Washington the next month.

Infinityrver · 09-09-2013, 06:25 PM

I purchased my 5th wheel in Indiana and paid no tax of any kind to that State. Registered it in Maine. Paid 5% Sales tax of the purchase price. Paid registration fee of 32.00 and paid 2.4% excise tax of MSRP. The following year I went to FL and Registered it there 178.00 first time fee and 35.00 per year there after.

I have purchased two brand new commercial vehicles out of state. One from Michigan the other from Rhode Island. Paid the Sales tax, excise tax, and registration fee upon registering them here in Maine. No tax of any kind to the States that I purchased from.