Question: When you buy a car out of state, who gets the sales tax? Do you pay the sales tax in the state that you buy the car? Or do you pay sales tax in the state where you live when you register the car???

Thanks in advance!

 

Sales tax for the state you register it in. In a week or so I will be paying tax on my MINI since I bought out of state.

 

Each state is a little different. I bought mine in Utah, and drove it back to CA. No tax, and a one week Utah registration. Also got some docs that I don't normally see when I buy at a dealer here in CA.

In CA, I took all the paperwork to the DMV, got a visual to confirm it was equiped with CA emission equipment (50 state compliant), and then payed sales tax and reg fees.....

But it's good to know what you're getting into, so do a little homework on your local DMV website....

Matt

 

I paid sales tax to NY, even though I live in CA. CA doesn't care as long as you pay the same sales-tax rate. When I completed the paperwork for Mini of the Hamptons, I told them to use my local sales-tax rate. That way it could be built into my loan amount.

The other option was to pay no sales tax to NY, and instead pay CA the sales tax when I registered the car.

 

I live in NM and have bought 2 MINIs in OK. Tax was paid in NM at NM rates.

ripley.

 

I live in Washington State and bought my car in Hawaii. Paid the 4+% in Hawaii then when I shipped the car here, had to pay the difference between what I paid in Hawaii and the WA tax of 8+% when I registered it.


Rob

 

Buy in Las Vegas! You don't pay the tax until you return to California (you have 20 days). Also get the dealer to send you the paperwork you need and they require no proof of what you actually paid for the car. They go by what's on the form and no check back with the dealer - they don't care. PLUS - if your financing... you don't have the sales tax added to the deal - so your not paying interest on the sales tax too.

The only negatived, is that you DO have to get it a smog test - regarless that it is new and certified to meet California emissions. But thats only $40 for the test.

Opppps! I just saw your from Jersey... disreguard all the California stuff... unless someone else reading this is from California. Doh!

 

This is great info. 8 of us in California (I believe) will be getting our MINIs from Ohio next week. Probably all of us assumed we would be paying CA tax on the full list. Hmmmm. Better not; I get audited each year 'cause I do government work. Thanks for the information though.

 

I just had the most horrible experience buying a car in New York from a non-Mini used car dealer. I'm seriously writing an article for the New York Times or New Yorker which I will preview here soon. Basically, remember that, if the car is used and privately owned, no matter how well they took care of it, since they aren't a dealer and may not do all the checks and a state inspection, there may be stuff wrong with the car they don't know about. You can pay someone to do an independent inspection no matter how compulsive the previous owner was. Also, if there is tint in one state, that might not pass inspection in another state. It could be missing stuff, like my car did (no manual, only one key, and no tool kit). You may not be able to drive it in transit without a state inspection and you may need a transit tag. You will pay tax and title fees in your state...not the one you bought it in, but many people pay those fees at the out-of-state dealer and find out later at the DMV in their home state that the fees were never received and you will be forced to pay them again locally unless you can get the dealer who sold it to you to cough it up. Anyhow, my story is so bad that it should go Hollywood and I'll be submitting it soon. After my experience I would only buy a new Mini or a used Mini from a dealer. Also, I found out that many seemingly respected dealers run regular gas in their demo and used cars and you never know about it. Also, your car can look fine, but if it was driven for even a few thousand miles in a state like NY, it will have bent wheels from potholes. These are only some of the out-of-state horrors I endured to get my 04 MCS. More later.

 

Drsms22, there was a thread here about 2 months ago by someone who bought a used MCS and discovered some major engine mods had been removed improperly. He posted photos hoping someone on NAM would recognize the car so he could trace its history. I hope your article appears in The New Yorker because it will be easier to spot there.

 

Not to worry. I'm not buying a used car. And it's not a MINI either. But don't worry, I'm not getting rid of my MINI. It'll still be my daily driver.

Thanks for all the info guys!

 

For those of you close to a border state and with some time...

There is a loop hole in the tax code in California. If you purchase something of high value - car, boat, motorhome, tractor etc. and do not bring it in to California for 90 days, you don't have to pay the sales tax. It is a little known loophole and can save some real dollars if you have a place to put your car (mexico, canada) for 90 days.

Most of us wait so long to get the car another 90 days would be excrutiating!