CA sales tax

[Mr. Know]

From my experience (buying in Nevada and bringing it to California) I did NOT pay Nevada sales tax. I paid California sales tax when I registered the car (in excess of 4k) at the DMV. The dealership in Nevada gave me a drive-away permit which was good for a couple weeks or so. I also had to sign some documents to that effect. California makes you true-up on taxes paid.
I suggest you pay California sales tax, and it will be noted on the bill of sale. That way you can finance the tax (if you are financing). North Carolina DMV will look at the bill of sale (sales contract) and see the taxes paid and will charge you the difference if the taxes are higher in NC. I'm not sure how it works if CA charges you more tax than NC would.

Good luck, and welcome to the Lotus community!

[RoadDad]

^^ CA tax > NC tax for cars.

[Mr. Know]

Originally Posted by RoadDad

^^ CA tax > NC tax for cars.

Of course that depends on the county you are referring to in both instances.

[pchop]

Per California Board of Equalization (Tax Authority), below are links to the two regs for sales tax and use tax:

Reg 1610 - definition and application of sales & use tax
http://www.boe.ca.gov/pdf/reg1610.pdf

Reg 1620 - application of sales & use tax relating to interstate commerce
http://www.boe.ca.gov/pdf/reg1620.pdf

If you read Reg 1620 Page 2, Paragraph B, it pretty much confirms what the dealer had told you.

[paunch]

Also, it's difficult to play the ol' fake bill of sale trick in California to save on taxes. IIRC, I read somewhere that CA DMV will look at the sales price and if it is well below certain metrics (kbb, black book?) then they will automatically bump-up the sales price and hence the tax collected.

Smarter than the average bear

[Noen]

Good to see he figured it out. Get the NC tag first, bring it with him, driver her back.

Of course that depends on the county you are referring to in both instances.

The highest sales/use tax in NC is like 3.4-3.6%, versus 10-12% in Cali, it's definitely worth the hassle to work this out

[FIRME]

Originally Posted by Noen

Good to see he figured it out. Get the NC tag first, bring it with him, driver her back.



The highest sales/use tax in NC is like 3.4-3.6%, versus 10-12% in Cali, it's definitely worth the hassle to work this out

Don't know where some are getting the 10-12% sales tax, Fresno is 7.975% and I believe the highest sales tax in CA is 8.75.

After speaking to someone at DMV in NC, they state that when CA charges you sales tax for taking delivery in their state, keep your receipt (contract) and when you get to NC to register it, they will also charge you the highway tax and registration fee but you can fill out what's called the NVR609 form to get a refund.

Either way, it seems like you'll pay the same whether you ship it to NC or drive it to NC...here's an example:

Driving
$27,600 Sales Price
$ 2,200 CA Sales Tax (7.975%)
$ 900 NC Tax
$30,700 Total minus your refund which I don't know the amount

Shipping
$27,600 Sales Price
$ 1800 Shipping (enclosed)
$ 900 NC Sales Tax
$30,300 Total

[iw84u]

you guys are great. it's been very helpful reading the replies. there's a vast wealth of knowledge here. thanks!

paid $5 for the temp tag.

progressive insurance with full coverage is $740/6-months.

booked my flight last week ($320 one-way on us-air).

will be in fresno on 7-3-08 lunch time. planning on leaving the dealer around 2pm. i am going to post my itinerary for my trip back under "road trips". would it be polite to ask if anyone want to host a traveler? it would be cool to meet some of you guys. i'll buy dinner and drinks.



can't wait!!

[Mr. Know]

Originally Posted by iw84u

you guys are great. it's been very helpful reading the replies. there's a vast wealth of knowledge here. thanks!

paid $5 for the temp tag.

progressive insurance with full coverage is $740/6-months.

booked my flight last week ($320 one-way on us-air).

will be in fresno on 7-3-08 lunch time. planning on leaving the dealer around 2pm. i am going to post my itinerary for my trip back under "road trips". would it be polite to ask if anyone want to host a traveler? it would be cool to meet some of you guys. i'll buy dinner and drinks.



can't wait!!

That's going to be a LONG wait! Congrats on getting it all straightened out. Most times its the fear of the unknown that makes things difficult. Have fun with your new toy!

[iw84u]

picked it up with my NC tag. see general discussion "somebody pinch me".

[ZAMMY1]

the dealer in miami did all the paperwork and HE had a pennsylvania plate on my elise when i arrived to pick up the car to drive it back to pennsy.
i had paid the pa. tax through him and also signed a power of attorney form.
it was all done when i arrived.
different states, i know......
sam