- #903 of 947
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Re: Transferring from IN to IL [volvomax]
by kyfdx HOST
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May 19, 2009 (7:22 pm)
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Replying to: volvomax (May 19, 2009 8:21 am)
On new leases, Illinois charges tax on the full purchase price.. Indiana charges on the monthly payment...
I have no idea what Illinois will do on an existing lease brought in from another state, but I'm thinking it won't be pretty...
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- #904 of 947
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Re: Confusion on tax rates CHICAGO IL [volvomax]
by 1stin10
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Jun 26, 2009 (12:11 pm)
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Replying to: volvomax (Jun 20, 2008 1:18 pm)
Hello, I am getting ready to buy a new vehicle in Cook County this Monday. It will be registered at my home in Chicago. I am writing to say there seems to be major confusion out there about the tax rate for Chicagoans. A perfect example of that is this thread from last year.
As for me, the dealership is telling me my tax will be 9.25%, even though a friend also living in the city paid 8.5% last month, and the IL Dept of Revenue's online "tax finder" tool indicates that for new vehicles the State takes 7.25% and the City of Chicago takes 1.25% for a total of 8.5%. Does anyone knowledgeable about this region's vehicle sales tax know why the dealership thinks it's 9.25%? I've seen other dealers make the same claim online, so if it's legit, why doesn't the State make that info readily available?
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- #905 of 947
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Re: Confusion on tax rates CHICAGO IL [1stin10]
by volvomax
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Jun 26, 2009 (12:46 pm)
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Replying to: 1stin10 (Jun 26, 2009 12:11 pm)
If anyone knows what the proper tax rate it, it would be the dealer that has to collect it. It could be a local tax that is the difference. What town is the dealer actually in?
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- #906 of 947
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Re: Confusion on tax rates CHICAGO IL [volvomax]
by 1stin10
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Jun 26, 2009 (1:41 pm)
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Replying to: volvomax (Jun 26, 2009 12:46 pm)
The dealer is in Arlington Heights, which is Cook County, same as Chicago. The way it works in Illinois is you pay the sales tax based on the address where the car is registered, not where it's purchased. Because I live in Chicago, I get to pay the highest tax in the state. Anyway, my friend who lives in the city and who paid 8.5% last month bought her new Honda from a dealership in the city, so I'm assuming they would know better than anyone what to charge city residents. In the end, the difference is not that large. I just want to understand what the correct answer is.
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- #907 of 947
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Dealer sales tax check short
by jfitz2
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Jun 26, 2009 (1:46 pm)
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I live in Texas and I recently bought a vehicle in South Carolina. I just discovered that the check that the dealer sent to the Texas tax office is short $300. While I think this was a genuine error and will be corrected and wanted to see what are the implications of this. I have my bill of sale that shows the correct amount of the transaction and the appropriate sales tax paid on the deal. If the dealer chose not to pay the remainder, who is liable for it and can I still get my registration? Any information would be greatly appreciated.
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- #908 of 947
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Re: Dealer sales tax check short [jfitz2]
by volvomax
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Jun 27, 2009 (8:00 am)
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Replying to: jfitz2 (Jun 26, 2009 1:46 pm)
If your buyers order shows the correct amount, the dealer is liable for the shortfall.
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- #909 of 947
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Re: Dealer sales tax check short [volvomax]
by tidester HOST
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Jun 27, 2009 (10:12 am)
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Replying to: volvomax (Jun 27, 2009 8:00 am)
Are you sure about that? Ultimately, the customer is responsible for paying the sales tax and the vendor's role is to collect the tax and transmit it to the state. In this case, the vendor (apparently) received full payment of the sales tax from the customer but failed to transmit the full amount to the state. The customer is still liable but the vendor absolutely owes the difference to the customer.
tidester, host
SUVs and Smart Shopper
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- #910 of 947
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Re: Dealer sales tax check short [tidester]
by volvomax
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Jun 27, 2009 (3:01 pm)
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Replying to: tidester (Jun 27, 2009 10:12 am)
Yes, if the customer can prove they paid the full amount to the dealer, it is up to the dealer to transmit that full amount to the state. If the customer didn't pay the full amount,then the dealer can request the missing money form the customer.
Hopefully for this customer,the amount listed on his contract is the correct amount.
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- #911 of 947
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Re: Dealer sales tax check short [volvomax]
by tidester HOST
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Jun 27, 2009 (3:56 pm)
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Replying to: volvomax (Jun 27, 2009 3:01 pm)
Either way, the dealership has to be registered as a vendor in the state and if it's not remitting the full sales tax then they could be in trouble. It would be in the dealership's best interest to properly dispatch the matter promptly.
tidester, host
SUVs and Smart Shopper
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