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Car Financing, Car Leasing
#1037 of 1083 Re: more info on the issue [sweendogy]
Apr 04, 2011 (10:09 am)
If show the DMV that the tax was overpayed on your behalf they should give you a refund. if they don't, ask them to docment wyhy not and pass a copy along to the dealer (keep original for yourself) and tell them you tried. If you get the money, ask the dealer to repay you for your time and trouble on their mistake.
#1038 of 1083 Re: One thought [kyfdx]
Apr 04, 2011 (10:11 am)
I have not heard of that before. I am not sure if it matters here, but it could matter to MA and they paid the correct out (but charged the buyer too little).
#1039 of 1083 Re: more info on the issue [dwynne]
Apr 04, 2011 (10:55 am)
Buying a vehicle in outside of your state of residence can be a nightmare! There are 50 states and (at least) 50 specific sales tax laws regarding sales to non-residents.
Most of the laws are NOT in favor of the non-resident buyer! They want to collect their tax up front and, if you're lucky, you may get credit for some/all of it in another state??? Very confusing to say the least!
I'm a Georgia resident but I have purchased my last two cars from a new car dealer in Tennessee. TN makes it easy- if a non-resident purchases a vehicle and will be removing it from the state within three days, the dealer collects $0 sales tax. Then it's all up to the buyer and the state where he registers it. In my case, I had to visit the regional Georgia DOR office with my Bill of Sale showing the NET price. The county I live pays 6% sales tax, so I had to pay 6% of the net vehicle price!
I had no trade, just some intense negotiating and a coupon from Mazda for $500 off the best deal I could negotiate. The bottom line (NET) total ended up at $16,250, so the 6% tax was $975. I wrote the DOR a check for $975 and they gave me a receipt so I could a get a new tag and register the car....
It was easy with TN and GA, but most state-to-state sales can be a major pain! Go
#1040 of 1083 Re: more info on the issue [igozoomzoom]
Apr 04, 2011 (12:29 pm)
It is fairly easy in Washington state. I've bought a couple of vehicles in Oregon. They have no sales tax and don't charge you anything. You just pay the tax when you register the car in Washington.
#1041 of 1083 calling the finance division of the company
Apr 04, 2011 (12:38 pm)
will keep you up as info comes in .. but still its an issue
#1042 of 1083 Re: more info on the issue [sweendogy]
Apr 05, 2011 (3:51 am)
From the chart here at this link both MA and NY allow the tax break on a trade. It does not say if they allow the break to out of state trades or not. Here in TN they do no care where the trade comes from, if you title the new / replacement car in TN you get the tax break. Read PDF here.
#1043 of 1083 Va dealer says sales tax is 6.17%- can this be true??
Jul 31, 2011 (7:48 am)
Hi all- I'm leasing the g37x, I currently have the g35. I'm leasing the car in Va and live in Md. Dealer tells me I have to pay 6.17% sales tax (Md is 6%) because I'm leasing in Va and live in Md.
Does this make sense? Has anyone heard of this? Txs!
#1044 of 1083 Re: Va dealer says sales tax is 6.17%- can this be true?? [mitcharno]
Aug 02, 2011 (9:17 pm)
Generally you pay taxes based on where you live (My store is in NJ but we sell lots of cars to NY and sometimes CT and PA).
The .17 strikes me as odd though, perhaps it's some sort of inventory tax of some sort? Here in Jersey even out of state customers pay the $1.50 per tire tire fee as an example.
For what it's worth, the .17% is 85c on a $500 payment.... If the deal makes sense I wouldn't have it be a deal breaker personally.
#1045 of 1083 Re: Va dealer says sales tax is 6.17%- can this be true?? [mitcharno]
Aug 03, 2011 (7:34 am)
Last time I checked, both VA and MD charge tax on the full price of the car - not just the payments like most states. VA also charges personal property tax on lease vehicles.
I have done many out of state leases and I always pay the tax rate in my home state - never in the state where the dealership is located. It could be different up there, but I would think the dealer could do the same thing. While most states give you credit for taxes paid to another state, I would not want to risk having my home state come after me for taxes in addition to ones already paid out of state.
Check with other dealers in VA and see what they say, or lease from another state, or lease from a MD dealership. I leased my G37 coupe from Harper in Knoxville, TN and could not have been happier with the deal ($0 dealer doc fee, no MF mark up on the lease). Let me know if you need contact info.
#1046 of 1083 Re: Va dealer says sales tax is 6.17%- can this be true?? [mitcharno]
Aug 03, 2011 (8:01 am)
Did they actually tell you 6.17% or did they do some reverse mathematics based on a tax dollar amount calculated by their system? Its possible that they included other taxable items in the tax calcuation, such as a dealer processing fee, resulting in a higher tax dollar amount.
The 6% due to Maryland, however, is based on the Full Purchase Price or Gross Capitalized Cost of the vehicle, regardless of the payments made during the term or other items being charged in the lease. The only time the motor vehicle tax is collected in VA is when the application for Title is made, so in this case, since you are registering and titling in Maryland, there should not be any sales tax due to VA.