sales tax

[ng8264723]

Utah has a sales tax. When we purchase a car from out of state does that make us exempt to the sales tax?

[Dynamic]

If Utah is like most states...NO. If you do not pay a sales tax in the purchasing state, then you will have to pay the tax when you register the vehicle in your home state. Over the years it has gotten even more confusing.

Here is how Indiana looks at sales tax:
If you physically buy the car in Indiana...you pay tax.
If you buy the car over the internet and I have the car shipped to you.....no tax.
If you buy the car over the internet and you have the car picked up.....you pay Indiana sales tax.

The same rules apply even if it is an overseas deal.

[Got the Bug]

Originally Posted by Dynamic

If Utah is like most states...NO. If you do not pay a sales tax in the purchasing state, then you will have to pay the tax when you register the vehicle in your home state. Over the years it has gotten even more confusing.

Here is how Indiana looks at sales tax:
If you physically buy the car in Indiana...you pay tax.
If you buy the car over the internet and I have the car shipped to you.....no tax.
If you buy the car over the internet and you have the car picked up.....you pay Indiana sales tax.

The same rules apply even if it is an overseas deal.

Yep. One way or the other, they're going to extract their piece of the sales tax pie. I bought my car in Nevada. I didn't pay sales tax, but had to pay the tax at the time of registration in California.

[twobjshelbys]

When I bought my truck in Vegas they told me that the paperwork would be sent directly to me and that I would pay no sales tax there. In fact, they sent me the MSO that they would normally take to the DMV for the first title. The Colorado folks were somewhat surprised. I paid tax based on their vision of the value, which was more than I paid for it, but that's too bad they said.

When I bought my Shelby Mustangs from the dealer in Arizona I had the option of paying AZ sales tax and taking a Colorado credit, or paying it here. I figured the money would do Colorado more good for me so I again paid it here. The dealer sent me the purchase paperwork but they titled it in AZ first, which took about 6 weeks to turn. As with that transaction, for most states if you paid it in another location you'll usually get a credit for what was paid there and only need to pay the shortage (but they won't give you a refund!)

When I bought the Cobra at Barrett Jackson (BJ is a licensed AZ auto dealer) they simply had me sign that I was out of state, show the shipping order, and the AZ tax was waived, the title was signed over to me as a pass-through transaction (it was actually titled in California as a 1965 Shelby Cobra). I had to show the purchase paperwork from BJ. After some discussion they decided that the 10% BJ buyers' premium is also taxable. That year I got a larger sales tax deduction than state income tax deduction.

[pusherfans]

PA said that I just pay the tax here, as if I bought any other car. So they want all the receipts to see how much it cost so they can charge the tax. One could cheat, but the state is no dummy.

[Ronbo]

Depends on the state. Here in FL (like many states) it's a sales/use tax:

If you paid sales tax in the state it was purchased in, you pay the difference (if any) of Florida's 6% state sales tax. (I.E. if I paid 4% to Utah, I'd have to also pay 2% to Florida)

The use tax is a major screwing, it's time specific. Something like after six months you can get hit for the 6% on top of the other tax you paid in the purchase state.

Go to your state's revenue site and search "mail order" or "sales/use" or "out-of-state purchases".

Here's your state's law: http://www.mass.gov/?pageID=dortermi..._use&csid=Ador

You didn't really think they'd let you off the hook did you?

[ng8264723]

It's not the sales tax that bothers me it's the penalty's that are greater than $900 dollars. Since I took delivery of goods I should of paid a use tax

[Ronbo]

Not if you claim you originally bought it to sell after assembly...

Most states rarely pursue this stuff against Joe citizen, since it's basically a scam against businesses (that don't have a vote).

A lot of states also have tangible property taxes that are only imposed on businesses or the wealthy even though the law may state that everyone pay them. (they hit you on your house since it's the only thing of any real value most people have, they don't bother with 4yr old TV's and what-not).

This is why you see many businesses leasing everything.

Like every other person, just pay the sales tax at registration. You'll never hear from the state revenue people about it.

[Don]

CT: Sales tax is paid at the time of registration, both for in-state and out-of-state purchases. If for some reason tax was paid to the out of state, then CT gives a credit . Bill of Sale has to be submitted to the DMV along with proof if out of state tax paid.

There are some provisions allowed for sale to direct ( ? ) verified family members if the Bill of Sale is for a minimal amount, example would be $1.00, amount not questioned. Not aware of any relationship between sales tax paid and Tax Assessors value for annual property tax

[ng8264723]

Ronbo,
It's not that easy. The registra actually calls the department of revenue for advice while you are there!
chris

[Ronbo]

Originally Posted by ng8264723

Ronbo,
It's not that easy. The registra actually calls the department of revenue for advice while you are there!
chris

And what happened? They charged you the penalties for not paying it within 30 days from reciept of goods?

I'll bet they just had you pay the sales tax, no?

Simple? No such thing when it comes to tax codes. Been through a couple state audits here, they're even bigger azzholes than the IRS.