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New Member |
If you are a resident of state "A" but you are stationed in state "B", which states sales tax do you pay? I have been told 2 different stories and am hoping someone can clear this up.
Thanks in advance. |
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Super Member 'Save the cheerleader, save the world' Live simply. Love generously. Care deeply. Speak kindly. Leave the rest to God. I'm freakin' crippled now. My butt-knuckle is killing me. |
Hmm. Good question. I live in WA but I do some shopping in OR because I know there's no sales tax. I've never purchased a car there though...hmm
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Member |
If you buy a car in state A (which has no sales tax) and register it in state B (which has a sales tax) you will pay state B's sales tax when you go to register the car. The same thing happens when you are stationed overseas and buy a tax-free car there. You end up paying the sales tax in the state you register the car. This trips up a number of people who buy their car while stationed overseas.
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Lead Moderator, Veterans Issues Forums davem-milcom@cinci.rr.com Founding Member DVG |
Just to confirm that this is the right answer. You pay the sales tax where you register the car.
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New Member |
So then if I buy a truck in CA, because I am stationed there, as a MN resident and want to register it in MN, via mail, I will only pay MN sales tax. Why does the dealer say otherwise? Do they not all know the rules and dealing with military members?
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Lead Moderator, Veterans Issues Forums davem-milcom@cinci.rr.com Founding Member DVG |
(c) SALES TO MEMBERS OF THE ARMED SERVICES. A dealer (or manufacturer or dismantler) who is licensed or certificated pursuant to the California Vehicle Code must report and pay sales tax to the Board with respect to the sale of a vehicle in California to a member of the armed services regardless of the service member’s place of residence. A dealer (or manufacturer or dismantler) so licensed or certificated who sells a vehicle outside of California to a member of the armed services for use in California must collect use tax from the service member and remit it to the Board unless the sale is made to a service member on active duty, prior to the effective date of discharge and the intention to use the vehicle in California results from official transfer orders to California and not from the service member’s own independent determination. The service member will be considered to have made an independent determination to use the vehicle in California if the contract to purchase the vehicle is made after the service member receives official transfer orders to California or if at the time the contract to purchase the vehicle is made the service member arranges to take receipt of the vehicle in California.
MN RULES Sales of motor vehicles that must be registered and have a license plate (such as cars, trucks, trailers, motorcycles, mopeds and motor homes) are subject to sales tax at the time of registration with the Department of Public Safety. For answers to questions about the sales tax on motor vehicles, call the Department of Public Safety at 651-296-6911. Fact Sheet 125, Motor Vehicles Sales and Purchases. |
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