You are here: Forums Smart Shopper Vehicle Sales Tax Questions

Vehicle Sales Tax Questions

947 messages,  Last post on Nov 23, 2009 at 10:05 AM

You are in the Smart Shopper Forum. Your Hosts are kirstie_h & tidester

What is this discussion about? Car Financing, Car Leasing

Messages Page 6 of 95 1 ... 3 4 5 6 7 8 9 ... 95 Prev Next Last

Go To Msg # Search This Discussion

#51 of 947 Re: Tax on Overseas Delivery Car [rroyce10] by scooterz Oct 25, 2004 (12:45 am)
Replying to: rroyce10 (Oct 22, 2004 4:14 am) Thanks Terry for your response. So, I am assuming that I need to show the DMV proof of how much the purchase price was when I go in to register the vehicle. Do you know of any specific documents that will be required?
#52 of 947 Re: Sales Tax on an Assumed Lease? .... CRJ ... [rroyce10] by CRJ Oct 27, 2004 (6:00 pm)
Replying to: rroyce10 (Oct 22, 2004 3:49 pm) Hi Terry...I spoke with Infiniti Financial Services about it and they are telling me that New York State will not require me to pay sales tax on an assumed lease. The tax was paid in full when the car was originally leased. Do you think they are incorrect? Normally, if the car was being sold and I held the title I would agree with you, but since it's a lease I'm not sure. It makes no sense that I would pay tax again on the lease. The State would be collecting twice! The original lease was 48 months and there are now 32 months left. If I am taxed could the original leasee get a sales tax refund on the payemnts they will not be making? Thanks again. Craig Replies to this message: rroyce10 (Oct 28, 2004 4:15 am)
#53 of 947 Re: Sales Tax on an Assumed Lease? .... CRJ ... [CRJ] by rroyce10 Oct 28, 2004 (4:15 am)
Replying to: CRJ (Oct 27, 2004 6:00 pm) ...... I would never try to tell the state of NY on what to do .l.o.l... .. every state is different and so is their tax structure, and not to the advantage of the consumer ... **The State would be collecting twice!** ... they been doing that for years ..               But, I would check very closely with New York State on this one .. "most" states charge a new tax on a new contract with a new name and address .... *example only: in Ohio, you pay all the taxes on a lease not by months or by quarters, but - "upfront" .. so if you trade/sell/re-lease another vehicle you get to pay the tax all over again, and no refund from the last vehicle, even if it's 20 months of a 42 month lease .... I ain't no tax man and my book is in my office - so check close ..................... ;^)                                   Terry.
#54 of 947 terry by audia8q Oct 28, 2004 (8:27 am)
I'm not sure about the tax on a lease assumption but NY taxes the entire Cap cost of the lease up front not the base monthly payment like many states. (it appears to be similar to your Ohio example)..so in theory the lease tax was paid when the lease was originated. But it would be odd they missed a chance to collect additional taxes on an assumption. So I agree with you that further research may be in order. Nothing like a $1500 tax bill surprise. Replies to this message: CRJ (Nov 07, 2004 8:48 am) rroyce10 (Nov 08, 2004 1:35 pm)
#55 of 947 Mass tax? by stickguy Nov 05, 2004 (1:21 pm)
I was discussing buying a new car in Massachussets, even though I live in NJ. My expectation was that I would get a temp transport tag, and register it in NJ, and pay the 6% NJ sales tax.   The dealer said, however, that they collect the 5% MA tax, and the buyer is responsible for any difference when the register it.   Question is, does anyone have any experience with this (in particular how NJ DMV would treat this)? I'm assuming it would be the same answer if you bought in PA or NY, which is more common.
#56 of 947 stick by audia8q Nov 05, 2004 (2:58 pm)
That only works if the two states involved have reciprocal agreements....I would never trust this. The dealer is on the hook for the state tax so they are trying to cover their butts...You could end up paying sales tax in two states and the dealer will wash his hands of the whole thing.... Here in CT if we sell out of state, we just handle everything. This way the sales tax is paid in the correct place, once and we have all the documents to avoid CT sales tax.. The problem usually starts when the dealer has the consumer do his own plates and taxes. Why won't the dealer do everything for you???
#57 of 947 by montanafan Nov 05, 2004 (3:23 pm)
If you take delivery in Massachusetts, you pay Massachusetts Sales Tax. Dosen't matter is you get a temp tag from New Jersey (Massachusetts dosen't have temp tags), its where you take delivery. I am under the belief that you would then pay the difference to New Jersey, and New Jersey would try to get the 5% from Massachusetts. (Seen it work this way in a Massachusetts/Florida example several years ago) Call New Jersey DOR or DMV and ask.
#58 of 947 by stickguy Nov 06, 2004 (8:41 am)
Thanks. It would be much easier to have a local dealer with the great prices, or at least close to the out of state guys. I will call NJ DMV Monday and see what they say, and talk to the other dealer again.
#59 of 947 Re: terry [audia8q] by CRJ Nov 07, 2004 (8:48 am)
Replying to: audia8q (Oct 28, 2004 8:27 am) Terry & Audia8q......After trying to get an answer from NY DMV without any luck, I contacted the NYS Taxation Department. The person I spoke with told me that if a new contract was being written for the lease transfer, then sales tax would be due on the remaining payemnts. They also told me Infiniti would collect the tax and report it to NYS. Infiniti Financial Services originally told me that I wouldn't have to pay sales tax, since it had already been payed in full on the original 48 month lease. I would be assuming the lease with 32 months left. When I spoke with the IFS rep, and told them what NYS told me, they were quite upset and disturbed by the fact it seemed NY would be collecting twice. Another point IFS made was that when one of their leases is assumed, the original leasee remains as a co-signer on the lease. While it is a new contract, the original leasee's name is still on it. The IFS rep spent the better part of a day researching the situation and finally contacted NYS Taxation directly to debate the issue. NYS told the rep the same thing I was told and I guess the rep politely told NY what they thought of the law.   I have carefully considered assuming the lease, and will probably do it, but I am very upset about the fact that NYS collects sales tax in this manner. In my opinion the original leasee should be entitled to a refund for the 32 months worth of payments they will not be making, but apparantly they are not.   Thanks for your help and input. Replies to this message: rroyce10 (Nov 08, 2004 1:35 pm)
#60 of 947 Gift Tax? by mrog71 Nov 07, 2004 (6:01 pm)
Since I can't figure out how to start a new thread, I'll post in this one. Does anyone know the tax implications of someone in FL wanting to gift a car to me in GA? Should we make it a $10 sale instead of a gift? Thanks Matt Replies to this message: rroyce10 (Nov 08, 2004 5:52 am)

Messages Page 6 of 95 1 ... 3 4 5 6 7 8 9 ... 95 Prev Next Last

Go To Msg # Search This Discussion

You are here: Forums Smart Shopper Vehicle Sales Tax Questions