Buying out of state - VA resident

[Brak101]

So my Bronco is being built next week, and I have all kinds of questions about the buying process, since I am a VA resident, buying from MI.

I can’t be the only Virginian to buy a bronco out of state. I’m looking to be educated by someone that has already gone through the process.

1. Should I expect to pay VA sales tax, or MI sales tax at the time of sale?

2. Am I still on the hook to pay use tax on the vehicle when I register it in VA on top of the sales tax? (I’ve never bought a car in VA, and don’t know how this works… seems like the state would be double dipping then)

3. should I be paying the titling fee in MI, or VA if the vehicle is to be registered in VA?

4. Should I expect the dealership financial officer to know all of this?

5. Can plates be transferred to the new car from a vehicle trade in when done at an out of state dealership?

Thanks guys! Looking forward to understanding this process better.

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[JoshuaPrieto]

1. If you buy your vehicle in MI, you'll pay 4.15% in taxes for VA.

2. You will need to consult someone who has bought a vehicle in VA for other taxes due at the time of registration, or call your local DMV; Your Michigan dealer is only responsible for collecting the 4.15% in sales tax.

3. You'll pay a $10 License Fee and $24 CVR fee in Michigan and you'll receive a 15-day Temp Plate; or you'll get a MSO and in-Transit Plate good for 30 days on delivery day if your dealership has it. If you don't receive the MSO the day of delivery, it should be mailed to you by your dealership.

4. Your dealership should have answers to all of these questions.

5. Most dealers wont do the transfer for you, much easier if you handle that yourself.

For 100% accurate answers, contact your dealership - every dealership operates differently.

 

[Raptor911]

I am in VA and buy all my cars of state. You ALWAYS pay sales taxes and any fees from your local gov.

MI can't charge you taxes. You have to pay for your car and a 30-day tags if you need them to drive home and that is it.

get back to VA and you need to pay sales taxes and registration at DMV. you also need to report to your local government that you have a new vehicle for property taxes.

Then you need to get VA state inspection

 

[Dral97]

I've bought several vehicles out of state. For your first question, it will depend on the dealer.

I've bought things where it got to me and I had to take the bill of sale to my local DMV and pay the taxes and get the title on my own. I've also bought autos out of state where the dealer takes care of everything, taxes, tags, and title. This has been my experience more often when buying new.

I'd start by asking the dealer what they plan on doing. If they are charging you some 'title and tag' fees, make sure it is getting done for you as an out of stater (and ask them about switching your current tags and if you would still be charged for that).

Also, as others mentioned, if the dealer charges you taxes, it should be at the rate you would pay in VA, even though you'd be paying it to the MI dealer. If you pay it to the MI dealer, then it is taken care of and you don't have to pay again in VA in terms of sales tax. Just hold onto your bill of sale and if anyone ever inquires about it, you can prove you have paid your state taxes on it when you bought it initially.

I'm a PA resident, but the things I mentioned shouldn't be any different among states.

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