Change of State registration after buying the car from dealer

Buying/Selling
21

Errt. Unfortunately, you do not get a ceegar. The most commonly attempted tax dodge used around these parts is for a resident of a high tax state (like ME or MA) to buy a car in NH (no sales tax) and then register it in their home state. That is why the sales tax (and any applicable personal property tax) is applied at the time of registration not sale.

22

So what happens if I buy a car in Florida and then move to Maine two weeks from now? Would Maine make me pay sales tax a second time?

Florida used to have an impact fee, but it was ruled illegal and the state had to pay the money back.

23

Yeah might be different in other states but if you buy a car in South Dakota and live in Minnesota, you get a pass on paying South Dakota sales tax but have to pay the Minnesota tax when you register. I do I do believe that is fairly standard. Same as if you buy something in a state that does not charge sales tax, there is a form to fill out to pay the Minnesota sales tax on it. But like I said before, I think probably only two people a year do it, the same number of people that actually understand Minnesota sales tax law. (And I’m serious about that-no one understands the tax except a couple of experts in the Revenue Department.)

24

If ME has a reciprocity agreement with FL, then they will only charge any difference above what you already paid. If no agreement, you pay the full amount.

25

I think you are confusing two events. If you buy a car in Florida today, and live in Florida, you pay sales tax today in Florida and get your Florida plates. Done deal. Then next week if you move up north, you register your car there, pay the registration, (not the sales tax), and get your new plates. You pay registration every time you move to a new state, but only pay sales tax once when you buy a car.

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26

I don’t know about other states but bought vehciile’s from out of state both when I lived in Fla & here Ga & if I had a proof I payed ax in the state I bought it from no tax’s to register no proof had to pay tax to register.

27

Well, you’d be wrong then. When you live next to a state that doesn’t have sales tax, all the tricks have been played so they are in tune with that dodge. There is a sunset on the taxing but it is much longer, like 6 months. They call it sales and use tax but essentially the same thing.

Here’s a summary from MA as an example:

If you purchase a motor vehicle outside of Massachusetts and bring it into Massachusetts within 6 months for permanent use, a use tax is due by the 20th day of the following month when the vehicle entered Massachusetts.

For example, if you purchased a motor vehicle in New Hampshire on January 1st and brought it into Massachusetts on June 30, a use tax would be due by July 20th.

To learn more visit, 830 CMR 64H.25.1: Motor Vehicles.

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28

Mike: Does “Tax free” in NH apply to cars? I go to Keene once in a while (used to fly to the airport), and have made a few tax free purchases.

Nice city, keene

29

For sales tax - YES. But NH does have an Excise tax on cars which is prorated based on car’s value. As the car gets older the tax is less and less.

30

IF you register the car in FL you have to pay sales tax when you buy it. Knowing that you’ll be moving to MA in a couple weeks - then you’d be stupid to get it registered in FL. Wait til you move up north. TwinTurbo is correct
It’s really a use tax.

BTW - this also applies to other things like Furniture or appliances. If you buy an appliance in NH, but have it delivered to your home in MA, then you have to pay a sales tax. If you do an in-store pickup then the store won’t collect a sales tax. Technically you’re suppose then pay the tax on your own (yeah right). And visa-versa. I buy furniture or appliance in MA, but they deliver it to my home in NH, then I DON’T pay a sales tax. It’s all where it’s delivered/used. I know a few people who live in MA and have vacation homes in NH. Even though they live in MA and buy the furniture and appliances from a store in MA, but because it was delivered to their vacation home in NH then no sales tax is collected.

31

If you buy a car in Florida today, pay the sales tax and register it in Florida, and then move to NY next week, you have to pay NY the difference in sales tax when you register it. There is a time period after which you no longer have to do that. I think it is two months but you can look it up as easy as I can.