Can I Buy a Car Out of State to Save on Tax?

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dartworth

Lifer
Jul 29, 2001
15,200
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Originally posted by: cchen
Additionally, if you buy the car from a retail dealer out of state, you'll have to pay that state's sales tax as well as your own state's

This is not correct...

Well at least in MA and OH. I bought a new truck in MA, and I titled the truck in OH.

I had to do everything through the mail, because MA does not have temp tags. In order to get my plates from OH, I had to pay the sales tax to OH.

I didn't pay any tax to MA.
 

hans007

Lifer
Feb 1, 2000
20,212
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so like


if i go to oregon and buy a 6 month old car used from someone, thats the best bet right?
 

Nebor

Lifer
Jun 24, 2003
29,582
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Originally posted by: Mill
Originally posted by: Nebor
Originally posted by: Mill
Originally posted by: Nebor
Originally posted by: Dznuts007
You pay the sales tax of the county you live in...

That's right! I had a relative in town from Mississippi, and they called some number in MS to get the tax rate there. Apparently cars are much cheaper here in Texas than where he's from though. Go figure.

But here they don't do that. I find it odd that a state or county would want to give up perfectly good sales tax like that.

I thought it was wierd too. I guess it varies from state to state? Why not do it for toothbrushes and enemas as well?

Evidently the revenue wouldn't be as much. ;)

Depending on your need for toothbrushes and enemas, obviously. Some people use a Corolla's worth a year. :p
 

Eli

Super Moderator | Elite Member
Oct 9, 1999
50,419
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Originally posted by: hans007
so like


if i go to oregon and buy a 6 month old car used from someone, thats the best bet right?
Generally, it sound like most states safeguard their sales tax. You end up paying the tax when you register the vehicle in your county.

Yeah, I don't know why Oregon residents are exempt from sales tax in WA. They must have some funky law regarding it, or as you say.. they wouldn't turn down perfectly good sales tax revenue.