Buying Advice I think I am being lied to, by a dealer.

[Usta]

I live in Vermont and bought a new car in New York. Paid no New York tax or registration. Dealer gave me a temporary "transportation only" paper licence plate to legally drive the car home. The New York car dealer CAN NOTcollect Vermont tax. Part of my deal was for the Dealer to write a check payable to me for the Vermont sales tax.

If I buy any item at WalMart in New Hampshire where there is no sales tax, Vermont expects me to document the item and pay Vermont sales tax on the Vermont IncomeTax form.

Where you live gets the money. No one can collect tax for another state.

 

[OldGeezerWNC]

The dealer is correct.
I went throught the same think with a NY dealer.
I ended up buying in Pa though because prefer to keep my money local whenever possible.

With the economy in the bad shape it is ALL states are starting to work together on making sure the taxes are being paid. Here is the actual Law you need to read. All States have the same in one form or another. So you are paying Russian Roulette with a Derringer if try and beat the tax man nowadays.

http://www.tax.ny.gov/pdf/publications/sales/pub39_804.pdf

 

[Duffster]

No one can collect tax for another state.

That is not true at all.

When I buy lumber in Iowa and have it delivered I pay the sales tax of the state and county I am having it delivered to, whether that is WI or IA or IL.

If I pick the lumber up in IA I pay their sales tax.

I wish my Walmart purchases were tax free.

Sales tax is very complicated as it changes from state to state and even county to county.

 

[Diamondpilot]

I think the dealer is probably right also. In Indiana if you buy something such as a car, boat, airplane, ect over state lines many states have agreements to collect that tax and distribute it to Indiana. So say I buy a $100,000 boat in state __________ and they have a sales tax of 5%, they still collect my Indiana sales tax of 7%.

Now in Indiana if its for farm use its tax free. I was not smart enough to do this when I bought my tractor but when I bought some implements I did not pay sales tax even though I bought them in state just a few towns over.



Chris

 

[Bird]

I wish my Walmart purchases were tax free.

Yesterday I ordered a sewing machine from Walmart.com using their "Site to Store" system (no shipping charge), but instead of a local store here in Texas, it's going to a store in West Virginia to be picked up by my wife's sister. And they did charge me for the sales tax.

Sales tax is very complicated as it changes from state to state and even county to county.

When my brother was a Matco Tool Distributor, I think he had to have his computer set up to calculate, collect, and pay sales tax for 8 different jurisdictions just on his truck route.

 

[OldGeezerWNC]

Where you live gets the money. No one can collect tax for another state.[/QUOTE]

I agree with the guy who posted after I did. This is totally wrong. Amazon collects sales tax for any state that has entered into an agreement with them to collect INTERNET sales. sales tax. Any State can collect taxes. I purchased a Barko Loader from Kentucky and the sale was reported to not only the NC Dept of Revenue but to my County Assessors office. I filled the form for the out of state purchase and paid the prorated rate for both the State and County. If you are found to have willingly evaded and avoided the tax the penalties are extreme. Do not take advice from me or anyone when your livelihood is involved, contact your Local State Dept of Revenue, Every County has an office to make sure you render unto Caesar

 

[Scotty370]

Just personal experiance from a couple weeks ago: I purchased a (second vehicle) for the wife, on E-Bay in Maryland. Flew down and drove it home. I paid no MD tax! Drove it home ($15-,paper-plates) to NY, and of course had to pay NYS Tax to get it registered. Last week I took my taxes to an professional preparer. They had a declaration form that I was to sign on any out-of-state purchases throughout the year that I had made. Cigarettets on the Rez, Amazon, basically any purchase out of State. Of course I had none....... If the vehicle has to go through a registration process, your stuck. If it's an un-registrable vehicle, ATV, Chainsaw, Generator, guess your 'declaration, is up to you..............~Scotty

 

[radioman]

scotty is correct. The thing is you can get away from paying internet tax if the seller does NOT have a store or authority to sell in another state. The government WANTS you paying the taxes for stuff you buy out of state. There been many talk about having them find ways to track down all sellers to pay taxes. I just hope they don't since it will be a huge budget and economy killer.

This is why bird had to pay a tax for out of state since there is a store in his state he was buying online from even if the shipping or pickup is in another state.

Thats why the OP has been able to get away with not paying a tax out of state purchases since it doesnt needs to be registered.

On the same token- when you transfer a vehicle in same family, even from husband to wife for a dollar, tax needs to be paid, even though you already paid taxes on it before for full value here in NYS.

 

[LAWALLSTRACTOR]

The dealer is correct. You are supposed to report the sale on your NYS income tax return and pay the sales tax at that time. Many people of coarse never report it and never get caught, but the states are working on closing the holes. If you are financing the item, the sale will be filed in NYS and your chances of getting caught increase a lot.

 

[Ductape]

I dunno how you guys do it ! :confused2:

I know my state gets their money one way or another, but I must be spoiled living in a state with no sales tax. I can't imagine paying hundreds (or thousands) above the cost of a tractor, excavator, etc, above and beyond the cost of the machine itself. Heck, that would be my new bush hog or box blade !!

Here in NH, our gummit passed legislation prohibiting another state from collecting taxes from any business here in NH selling to residents from elsewhere after Massachusetts went after a NH tire store for not collecting 'use tax' from Massachusetts residents.