Connecticut Automobile Tax?

[marleymarl]

So I recently moved to CT and I just received a bill from my Leasing company that I owe 381.xx for my Honda for 2006. I don't even own it, I'm leasing it. Does anyone have any information or experience with this?

 

[vi edit]

Welcome to leasing...and changing states. Bleh.

Some states make you pay up front for the tax due on only what you use.
Example: Vehicle cost $30,000, residual on it is $18,000, you owe taxes on $12,000 up front at the time of leasing. At 5% that is $600.

Other states only make you pay taxes on the payment. Example: $300 lease payment is now $315 with a 5% sales tax.

And the worst case is states (like IL) that make you pay taxes on THE ENTIRE cost of the vehicle up front. Example: Vehicle cost is $30,000, you owe $1,500 at the time of leasing.

If you bought in one state that only makes you owe on the "used amount" instead of total value, and the new state makes you pay on full, you have to owe up.

If you bought in a state that pays each month based on payment to one that charges up front, you have to pay up.

If you bought in a state that charges each month but you've already paid up front in another state they'll try and up your payment.

Basically moving from state to state with a leased vehicle BLOWS.

 

[marleymarl]

Yah..that sucks indeed. I actually started leasing the car here in CT. I'm paying like 25.xx/month in tax with each payment and now to get this 381.xx dollar bill on top of that sucks ass. I'm assuming I'm going to be getting another similar bill next year too. If I bought a car instead of leased it, would I still be charged this tax or is it strictly a lease thing with CT?

 

[ElFenix]

sure that's not the dealer's tax on inventory, as, technically, they still own the car?

yet another reason not to lease.

 

[jiggahertz]

I think that's excise tax and has no relation to leasing or where you purchased the car. MA has the same thing. Even tax free NH has a similar version. Instead of calling it excise tax it's just built into the price of the registration. It cost me $450 to register my car for the first year.

 

[EagleKeeper]

If you itemize on your taxes, it is deductible

 

[IceBergSLiM]

register teh car in another state like NJ

 

[marleymarl]

I found some more info....even if it were registered somewhere else...its still taxable. It's a personal property tax.
I have another car I own but I have not registered it in CT yet so , in theory, I owe taxes on that as well...bleh.

http://www.ct.gov/dmv/cwp/view.asp?a=814&q=245268

 

[mugs]

Originally posted by: IcebergSlim
register teh car in another state like NJ

:laugh: Terrible idea.

 

[IceBergSLiM]

Originally posted by: marleymarl
I found some more info....even if it were registered somewhere else...its still taxable. It's a personal property tax.
I have another car I own but I have not registered it in CT yet so , in theory, I owe taxes on that as well...bleh.

http://www.ct.gov/dmv/cwp/view.asp?a=814&q=245268

They get their info from CT dmv though so........they are out of luck.

 

[Raduque]

personal property taxes, FTL. West Virginia has personal property taxes on dogs....

 

[jadinolf]

As a native born nutmegger, I remember that tax well although I never paid it because I got the military discount.
I also remember that if you don't pay the tax, you can't get your new registration.

Have they changed that?

 

[IceBergSLiM]

Originally posted by: jadinolf
As a native born nutmegger, I remember that tax well although I never paid it because I got the military discount.
I also remember that if you don't pay the tax, you can't get your new registration.

Have they changed that?

they will also put a lien on your home.

 

[Kaido]

Originally posted by: marleymarl
So I recently moved to CT and I just received a bill from my Leasing company that I owe 381.xx for my Honda for 2006. I don't even own it, I'm leasing it. Does anyone have any information or experience with this?

I got that shocker last year. Moved to Connecticut a few years ago, starting leasing in '05, and BAM, tax bill. I paid over $700 for LEASED CARS THAT I DON'T EVEN OWN. And that's on a Saturn and a Beetle, not even something cool like an RX-8 or a Hummer!

Welcome, brother, welcome

 

[compman25]

Or you could move to Oregon and not pay any tax on the lease of a car. I was surprised when I moved from CA to OR and my lease went down.