Your changes will require approval by an administrator before they are published.
The article has been updated successfully but requires approval before it is published.Last Updated 27th of January, 2010
If I buy an out of state car which state's sales tax is applicable?
|
Enter your Zip Code below to get a Free Quote. We suggest getting quotes from multiple companies to ensure you get the best rate. There is no obligation to purchase. 
|
You will pay the sales tax based on wherever the car was bought. So, for example, if you live in Ohio but buy your car in Pennsylvania, you will pay the Pennsylvania sales tax rate. This applies to both new car and used car purchases.
However, here's where it gets tricky. Depending on where you live, your state's motor vehicle agency may require you to provide a receipt showing the sales tax you paid. If it's less than what you would have paid in your home state, you may have to pay the difference in order to get your license plates or title your car.
Keep in mind that sales tax can differ by state, county, and city. You should always calculate the sales tax on your car purchase as it can make a significant difference. If you're unsure about the prevailing tax rates, call the dealer and ask for this information.
However, here's where it gets tricky. Depending on where you live, your state's motor vehicle agency may require you to provide a receipt showing the sales tax you paid. If it's less than what you would have paid in your home state, you may have to pay the difference in order to get your license plates or title your car.
Keep in mind that sales tax can differ by state, county, and city. You should always calculate the sales tax on your car purchase as it can make a significant difference. If you're unsure about the prevailing tax rates, call the dealer and ask for this information.
Post Comment for "If I buy an out of state car which state's sales tax is applicable?"
To post a comment for this article, simply complete the form below. Fields marked with an asterisk are required.
User Opinions
63%
36%
(22 votes)
36%
(22 votes)
Visitor Comments