Buying a C350 out of state
Anyone else buy a car that was out of state? What was your experience?
Last edited by a1rh3adsz; Jan 25, 2015 at 02:05 AM.
I bought a Corvette in California but live in Kansas. If you buy the vehicle from a dealer or broker, you WILL have to pay sales tax, regardless of if you drive it back to your state and have to pay sales tax there as well.
Most states do not do this, they won't charge you the sales tax unless you title it in that state. Not California, those greedy bast@rds will tax you at their higher rate on the spot.
Kansas did give me a credit, but the tax in most states if far less, so you end up losing money. That being said, I still would do it, just don't be surprised about the taxes.
I bought a Corvette in California but live in Kansas. If you buy the vehicle from a dealer or broker, you WILL have to pay sales tax, regardless of if you drive it back to your state and have to pay sales tax there as well.
Most states do not do this, they won't charge you the sales tax unless you title it in that state. Not California, those greedy bast@rds will tax you at their higher rate on the spot.
Kansas did give me a credit, but the tax in most states if far less, so you end up losing money. That being said, I still would do it, just don't be surprised about the taxes.
No, I went and picked it up. They do not charge you the tax if you have it delivered. I considered having it dropped off in a parking lot right across the Nevada state line...but decided that was too much of a pain.
That was back in 2010...who knows what crazy tax scheme that state has going now.
I kept about $2000 of the final price to give them upon my inspection of the vehicle .. And when I realized it was exactly as described I then wired them the remainder of my balance.
I kept about $2000 of the final price to give them upon my inspection of the vehicle .. And when I realized it was exactly as described I then wired them the remainder of my balance.
So it looks like I'm still hunting for one.
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So it looks like I'm still hunting for one.
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I bought a Corvette in California but live in Kansas. If you buy the vehicle from a dealer or broker, you WILL have to pay sales tax, regardless of if you drive it back to your state and have to pay sales tax there as well.
Most states do not do this, they won't charge you the sales tax unless you title it in that state. Not California, those greedy bast@rds will tax you at their higher rate on the spot.
Kansas did give me a credit, but the tax in most states if far less, so you end up losing money. That being said, I still would do it, just don't be surprised about the taxes.
Now, the fact that you say you were charged, and when you got back to your state and went to that state's DMV to register/inspect the car, you should have only paid the difference between the taxes you paid in California and what you would have paid in your state (assuming they are higher). Otherwise, California owes you a refund of the surplus amount above what your state taxes would have been.
I would even go as far as saying that dealer should not have charged you sales tax at all... Its not that s/he benefits in anyway by collecting it when s/he simply turns it over to the state -[unless, they fudged selling the vehicle for a lower amount, resulting in a lower tax only to then have them pocket the difference]-
Instructions for How to Request a Vehicle/Vessel Use Tax Clearance from the Board of Equalization (link).
Start at page 4 under the heading: Who is required to pay California use tax?
In general, California vehicles will be better condition than those from a lot of other states due to the mild climate and better roads
I believe you will have to pay California tax if purchased from a dealer, but not from a private party.
Private party purchase for out-of-state use, one-trip permit
The purchase of a vehicle from a person in California, who is not required to hold a dealer’s license or a seller’s permit (private party), is generally subject to use tax at the time the vehicle is registered with the DMV. However, a purchaser is not required to pay California use tax if the only use of the vehicle purchased from a private party in California is to remove it from the state andvit will be used solely thereafter outside this state. This exclusion from use tax requires that no other use can be made of the vehicle in this state. A One-Trip Permit may be issued by the DMV in lieu of registration, for operating certain vehicles while being moved or operated unladen for one continuous trip from a place within this state to another place outside this state. This exclusion does not apply to sales tax.
Last edited by steveb9771; Jan 31, 2015 at 02:29 AM.
Instructions for How to Request a Vehicle/Vessel Use Tax Clearance from the Board of Equalization (link).
Start at page 4 under the heading: Who is required to pay California use tax?
In general, California vehicles will be better condition than those from a lot of other states due to the mild climate and better roads
I believe you will have to pay California tax if purchased from a dealer, but not from a private party.
Private party purchase for out-of-state use, one-trip permit
The purchase of a vehicle from a person in California, who is not required to hold a dealer’s license or a seller’s permit (private party), is generally subject to use tax at the time the vehicle is registered with the DMV. However, a purchaser is not required to pay California use tax if the only use of the vehicle purchased from a private party in California is to remove it from the state andvit will be used solely thereafter outside this state. This exclusion from use tax requires that no other use can be made of the vehicle in this state. A One-Trip Permit may be issued by the DMV in lieu of registration, for operating certain vehicles while being moved or operated unladen for one continuous trip from a place within this state to another place outside this state. This exclusion does not apply to sales tax.
Similarly, from the document I linked above:
that person is responsible for reporting and paying sales tax.
So in both cases, private party or dealer, the burden to provide basis for an exemption from the tax requirement is upon the buyer. If he can provide proof that the car is not being used in California, the tax requirement should be waived.
Furthermore, if he us buying from a private party, he will have to drive it out, he will have to go tk rhe DMV , and he will have to applynforbthe exemption all on his own. Alternatively, if he is buying from a dealer, the dealer is more likely to arrange for shipping, the dealer may be able to handle obtaining the exemption and the dealer is more likely to be able to get the exepmtion approved because they arw risking rheir license if they try and fudge sales related matters like this.
The dealers even has their own window at ALL DMV offices whereas if he goes with a private party seller, they are both standing in line for who knows how long.
Call the dealer you are buying from and ask them... All this back and forth is useless if you call and they say "sorry" we don't sell to out of state buyers (like that dealer in SF)... Which, by the way, I find it pretty odd that a dealer will refuse a sale. Then again, this is San Francisco we are talking about!
I would pick a CPO (at least thay has been recently inspected & 'certified') over one with only an original warranty (which may have been inspected but for one reason or another did not qualify to be a CPO)...
Additionally, if he ends up buying one with a CPO, the car will still qualify for the MB Extended warranty at the end of the CPO period (although at that time, it might be higher than the $2500 you estimated) and I would consider that option just prior to the expirarion of the CPO coverage.
I would pick a CPO (at least thay has been recently inspected & 'certified') over one with only an original warranty (which may have been inspected but for one reason or another did not qualify to be a CPO)...
Additionally, if he ends up buying one with a CPO, the car will still qualify for the MB Extended warranty at the end of the CPO period (although at that time, it might be higher than the $2500 you estimated) and I would consider that option just prior to the expirarion of the CPO coverage.
My understanding is that this extension is offered to every CPO car as long as it is purchased before the end of the base CPO warranty. The CPO warranty either starts after the new car warranty expires or on the date of delivery (if the CPO is being purchased after the new car warranty has already expired).
An Example would be this CPO 2009 ML350 which would have lost its new car warranty sometime around 2013.


