Ron3rd wrote:
glendale wrote:
how do they handle the sales tax if you are out of state? I live in California and I would fly out to Dillon and buy a truck no problem the sales tax is what I have always wondered about.
If you live in California and you buy out of state, you pay the DMV the sales tax when you register it in California. I don't think the out of state dealer collects sales tax; at least that's how a friend's dealership that sold motorcycles did it. They would make the sale, give the buyer the title, and they paid tax in whatever state they registered it in.
As long as the state where you purchase your new vehicle does not have a reciprocating new vehicle sales tax agreement with your state of residence, then this is probably true. Best to call ahead and verify this with the out-of-state dealer's finance manager beforehand.
On the flipside, anyone who purchases a new vehicle in California, regardless what state you reside in, must pay the CA sales tax. The only exception is if you take delivery of the new vehicle just across the CA state line in a neighboring state. In some situations AZ residents purchasing a new vehicle in CA can save $1000-$1500 in sales tax by taking delivery at the state line.
