Sales tax calculated where?

[dwbronco]

Pro: no sales tax
Con: have to live in NH

There is that. It's beautiful up here, but the snow sucks. And with the Massholes leaving their fucked up state to come here, it won't be long before sales tax becomes a thing.

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[ZackDanger]

There is that. It's beautiful up here, but the snow sucks. And with the Massholes leaving their fucked up state to come here, it won't be long before sales tax becomes a thing.

The only people leaving MA for NH are people that would want to live in NH... I wouldn't worry about them trying to turn your state into "Massachusetts-light"

 

[JesseS]

I just calculated mine in California and came out to $3300 off a $36k vehicle.

Could someone explain the scenario where I could purchase a vehicle in another state (Granger w/ $2k discount) and not pay CA tax and yet still be legal in California? Are there additional steps I need to take once I get the vehicle back in CA? When will I eventually need to register it in here? Will I incur an excessive cost at that point?

Won't happen, I have purchased out of state where the sales tax was low, and brought it home to register, but CA will charge you the difference between what you paid in say AZ, and the rate where you register in CA. For me it was an additional 3%, cash, at least the AZ tax was rolled into the financing. Here is the CRAP CA will charge on my 44K BD build.
If you are getting it from Granger then tell them how much the Tax & Reg is and they will roll it into the financing and then cut you a check for the difference. Once you bring it back into CA you must register it within 30 days (i think) or pay an additional fee, you will also need to get it smog tested.

 

[Mango&Moose]

There is no such scenario.

Granger will not charge IA tax (many states do not charge out of state buyers tax)... but you will have to pay tax in CA when you register and title it.

That Said, taxes are calculated against the actual purchase price of the vehicle, which means many states use the cost of the car *after* discounts and trade-in to determine how much you owe.

If you are concerned about being able to afford the taxes out of pocket at time of registration, many dealers, Granger included, will roll the taxes you will owe in your home state into the financing, and then they’ll cut a check to the CA DMV for that amount for you to pay them with when you get home.

Good news: You only pay taxes once.
Bad news: You can’t commit tax evasion.

Also bad news: You get to pay interest on tax. For this reason I'm doing a smaller down payment than I could and paying cash to the GA DMV.

 

[Willwork4bronco]

Also bad news: You get to pay interest on tax. For this reason I'm doing a smaller down payment than I could and paying cash to the GA DMV.

I’m not trying to burst your bubble but if you do a smaller down payment to pay the taxes In cash it’s really not helping your cause. Maybe I missed something..

 

[Mango&Moose]

I’m not trying to burst your bubble but if you do a smaller down payment to pay the taxes In cash it’s really not helping your cause. Maybe I missed something..

Why wrap tax into the loan for them to cut me a check to pay the tax when I can simply pay the tax interest free?

 

[Daytona_Bronco]

I wonder how this will work in FL. ... Asked my dealer earlier, waiting for a reply ..

 

[dwbronco]

The only people leaving MA for NH are people that would want to live in NH... I wouldn't worry about them trying to turn your state into "Massachusetts-light"

Haha! That's funny, right there.

 

[dwbronco]

Not to rub it in...but the property tax in NH is listed at 1.99% (second highest in the Country behind New Jersey's 2.11)

Looks like NH will get it from you one way or the other.

You have to look at individual towns to see what the real property tax is. It is high, but it isn't horrible; and if we had sales tax, it's not like the property tax would go down any. Once politicians manage to sneak their hand into your wallet, they never let go. They may promise to just swap which hand is in your wallet, but they never actually make the swap. They stick that second hand right in there with the first.

 

[Willwork4bronco]

Why wrap tax into the loan for them to cut me a check to pay the tax when I can simply pay the tax interest free?

That’s not what you said. You said make a smaller down payment and then pay cash to the DMV.

Also bad news: You get to pay interest on tax. For this reason I'm doing a smaller down payment than I could and paying cash to the GA DMV.

It really doesn’t matter either way though. Let’s say you have 10k to put down.
Let’s say your bronco comes out to 50k out the door, of which 3k is the associated taxes, registration fees, and what not. You give the dealer 10k and finance 40k. A month or so later you plates and registration shows up and life is great.
So now you want the dealer to cut you a check so you can pay the taxes your self. Dealer says 50k out the door you give him 10k finance 40k he gives you a check for 3k you go wait in a line for 2 hours to get the plates and registration only to find out you have to pay the taxes first so you go wait an hour in the line to pay the taxes then go back to the registration place only to find out they are closed. So you go back the next day and wait a couple of hours and get the registration. Month later plates show up and all is good-still financed 40k.
Now the same thing but you don’t want the dealer to cut you a check. He says 47k out the door. You give him 7k finance 40k take your 3k go wait in all the lines again hoping that the VIN on you insurance is not a digit off or there’s an error on the paperwork from the dealer. A month later plates show up everything is good still financed 40k.

Sure you might be able to pocket the courier fee, documentary fee or what ever it’s called on your paperwork but if you let them get you for more than $100, you probably messed up (I don’t know the GA laws on that stuff).

The only way it really works out to your benefit is if you are buying out of state and that particular state has a higher tax rate then where you are going to register it. Say your buying in FL and the rate is 7% and your registering in GA that’s 5% then yeah don’t pay nothing (unless it’s a place like CA that you have to) cause you got to go wait in the lines anyways. If it’s different say FL is 5% and GA is 7% it’s kind of a wash as you still got to wait in the lines just got to pay the 2% (I think every state gives you credit for taxes you paid to another state but I honestly don’t know for sure). Either way at the end of the day you’re still going to end up financing the same amount.

 

[Mango&Moose]

That’s not what you said. You said make a smaller down payment and then pay cash to the DMV.



It really doesn’t matter either way though. Let’s say you have 10k to put down.
Let’s say your bronco comes out to 50k out the door, of which 3k is the associated taxes, registration fees, and what not. You give the dealer 10k and finance 40k. A month or so later you plates and registration shows up and life is great.
So now you want the dealer to cut you a check so you can pay the taxes your self. Dealer says 50k out the door you give him 10k finance 40k he gives you a check for 3k you go wait in a line for 2 hours to get the plates and registration only to find out you have to pay the taxes first so you go wait an hour in the line to pay the taxes then go back to the registration place only to find out they are closed. So you go back the next day and wait a couple of hours and get the registration. Month later plates show up and all is good-still financed 40k.
Now the same thing but you don’t want the dealer to cut you a check. He says 47k out the door. You give him 7k finance 40k take your 3k go wait in all the lines again hoping that the VIN on you insurance is not a digit off or there’s an error on the paperwork from the dealer. A month later plates show up everything is good still financed 40k.

Sure you might be able to pocket the courier fee, documentary fee or what ever it’s called on your paperwork but if you let them get you for more than $100, you probably messed up (I don’t know the GA laws on that stuff).

The only way it really works out to your benefit is if you are buying out of state and that particular state has a higher tax rate then where you are going to register it. Say your buying in FL and the rate is 7% and your registering in GA that’s 5% then yeah don’t pay nothing (unless it’s a place like CA that you have to) cause you got to go wait in the lines anyways. If it’s different say FL is 5% and GA is 7% it’s kind of a wash as you still got to wait in the lines just got to pay the 2% (I think every state gives you credit for taxes you paid to another state but I honestly don’t know for sure). Either way at the end of the day you’re still going to end up financing the same amount.

That's some clairvoyant shit right there.

Either way, I'm paying cash for taxes 29 days after delivery.

 

[Willwork4bronco]

That's some clairvoyant shit right there.

Yes, instead of $13,5k I will plop $10k and use the other $3,5k for tax/tag. Why give the full 13.5 if they will just give it right back in a check? Hence the smaller down payment.

Either way, I'm paying cash for taxes 29 days after delivery.

Hey what ever works for your situation, most folks take the check because they are a little more financially hampered than you. Are you buying out of state? If so sounds like you got a good plan and that’s probably what I would do if I was buying out of state. Now give me a chance to avoid the county accessor and DMV altogether and I’ll take it.

 

[Mango&Moose]

In on the Granger deal, late delivery by design to save up for a down payment. I finished paying off our minivan this month so hopefully 10+ months without a car note. Looking forward the road trip back to North GA.

The math may be a wash but I hate the idea of interest on taxes.

 

[JesseS]

I’m not trying to burst your bubble but if you do a smaller down payment to pay the taxes In cash it’s really not helping your cause. Maybe I missed something..

Not if you are financing the higher balance for the full term it won't, but if you plan to speed pay it say in 24 months then it won't be much of a hit. I am just paying cash for the entire amount, screw paying interest!

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