Avoiding Tax on New Tractor??

[Curtis861]

I live in Texas. If I buy a new tractor from another state will I not have to pay any sales tax on the tractor? I called a dealer in Louisianna and was told that if I had a driver's license from Texas that there would be no tax. But when I return to Texas is there any entity that will want to collect. Uncle Sam usually gets his fair share.
I don't qualify for ag exemption in my county.

Curt

 

[Curtis861]

I live in Texas. If I buy a new tractor from another state will I not have to pay any sales tax on the tractor? I called a dealer in Louisianna and was told that if I had a driver's license from Texas that there would be no tax. But when I return to Texas is there any entity that will want to collect. Uncle Sam usually gets his fair share.
I don't qualify for ag exemption in my county.

Curt

 

[KiotiJohn]

If you finaced the tractor, there will be a record in your state until the tractor is paid off. It will list your address and the holder of the loan. This is one way some states track tax avoiders down.

The dealer may have told you that he won't charge you any tax, but if you pick it up in his state rather than having it shipped to the out-of-state address, he's supposed to collect the sales tax on the spot.

He will have to fake a shipping order to get away with it. If he doesn't collect it, they'll come after you if it's found out, probably more than the dealer, although he will be in jeopardy.

Some states have laws that state that you have to pay use taxes on anything new your bring in from another state, some say you have to pay your state's rate of sales tax on them.

We've had a few posters relate horror tales of having gotten caught. Will you? who knows? But do you want to have to pay the tax as well as the fines/time?

John

 

[KiotiJohn]

If you finaced the tractor, there will be a record in your state until the tractor is paid off. It will list your address and the holder of the loan. This is one way some states track tax avoiders down.

The dealer may have told you that he won't charge you any tax, but if you pick it up in his state rather than having it shipped to the out-of-state address, he's supposed to collect the sales tax on the spot.

He will have to fake a shipping order to get away with it. If he doesn't collect it, they'll come after you if it's found out, probably more than the dealer, although he will be in jeopardy.

Some states have laws that state that you have to pay use taxes on anything new your bring in from another state, some say you have to pay your state's rate of sales tax on them.

We've had a few posters relate horror tales of having gotten caught. Will you? who knows? But do you want to have to pay the tax as well as the fines/time?

John

 

[beenthere]

Call the State and ask. If you don't owe state of TX the tax, then don't pay it. If you do owe the tax, it's only fair to "pay up", seems like to me.

Maybe it seems right that with all the illegal aliens from across the border breaking the law, that it is just the thing to nowdays. I don't agree. /forums/images/graemlins/wink.gif

 

[beenthere]

Call the State and ask. If you don't owe state of TX the tax, then don't pay it. If you do owe the tax, it's only fair to "pay up", seems like to me.

Maybe it seems right that with all the illegal aliens from across the border breaking the law, that it is just the thing to nowdays. I don't agree. /forums/images/graemlins/wink.gif

 

[CarlGlas]

The dealer should be aware that some goods are exempt from sales tax if they are used exclusively on a commercial farm or ranch in the production of agricultural products.

All that you need to do is complete an exemption certificate to purchase these items tax-free.

For more information, visit: Tax Exemptions for Agriculture

If it worked for me in Galveston County, it should work for you in your county.

 

[CarlGlas]

The dealer should be aware that some goods are exempt from sales tax if they are used exclusively on a commercial farm or ranch in the production of agricultural products.

All that you need to do is complete an exemption certificate to purchase these items tax-free.

For more information, visit: Tax Exemptions for Agriculture

If it worked for me in Galveston County, it should work for you in your county.

 

[kossetx]

Carl, He indicated he is not eligible for ag exempt here in tx. Thanks for that ag tax link though. Very helpful.

 

[kossetx]

Carl, He indicated he is not eligible for ag exempt here in tx. Thanks for that ag tax link though. Very helpful.