Tx

[chance23]

How will I pay sales tax on my tractor.

 

[bmaverick]

How will I pay sales tax on my tractor.

huh? Not enough info provided to even tell you.

 

[Torvy]

In Texas, it depends. You pay it at time of purchase unless you have a farm or Forestry operation where you can get it tax free. Just need the paperwork.

 

[IH3444]

Cash, money order, debit card, credit card?

 

[two_bit_score]

Any legal tender.

 

[rockinbbar]

Unless you have an ag/timber exemption, the dealer will add it to the cost of the tractor and collect it for you..

 

[jyoutz]

If you don’t live in Colorado, buy your tractor there. They don’t charge sales tax on agricultural equipment to out of state residents.

 

[Hersheyfarm]

If you don’t live in Colorado, buy your tractor there. They don’t charge sales tax on agricultural equipment to out of state residents.

A lot of out of state dealers dont charge sales tax, but your home state probably wants use tax, its what they call sales tax thats not collected from out of state sales. Like our dumb state wants its 6%…unless your paid at least 6% sales tax elsewhere. For example, if i buy a tractor and the state i buy in charges 4% sales tax, ky wants the remaining 2%.

me, I’m perfectly fine when someone refuses the legal robbery and keeps it on the downlo. Citizens are taxed outrageously for waste.

 

[jyoutz]

A lot of out of state dealers dont charge sales tax, but your home state probably wants use tax, its what they call sales tax thats not collected from out of state sales. Like our dumb state wants its 6%…unless your paid at least 6% sales tax elsewhere. For example, if i buy a tractor and the state i buy in charges 4% sales tax, ky wants the remaining 2%.

me, I’m perfectly fine when someone refuses the legal robbery and keeps it on the downlo. Citizens are taxed outrageously for waste.

There is no mechanism that I’m aware of for collecting any such use tax by my state. I bought in Colorado tax free in 2021, and that was that. When you buy a vehicle out of state, the taxes are collected when you register the vehicle, but tractors aren’t registered.

 

[Hersheyfarm]

There is no mechanism that I’m aware of for collecting any such use tax by my state. I bought in Colorado tax free in 2021, and that was that. When you buy a vehicle out of state, the taxes are collected when you register the vehicle, but tractors aren’t registered.

Yea, i just looked and NM is one that has a wierd tax setup. Gross receip tax…

and our state does not really have a “mechanism” to collect use tax on tractors or atv’s or anything really except vehicles, UNLESS, you are buying equipment for business that you will be depreciating. That’s how they get businesses. Jimmy joe buying a tractor to mow grass or whatever will never be taxed. We dont register tractors or atvs, or anything but vehicles here.

 

[two_bit_score]

There is no mechanism that I’m aware of for collecting any such use tax by my state. I bought in Colorado tax free in 2021, and that was that. When you buy a vehicle out of state, the taxes are collected when you register the vehicle, but tractors aren’t registered.

The OP doesn't say what state he is in but what you are proposing he do in order to avoid paying sales tax MAY be illegal in his state if he des not pay the states sales/use tax.

For example: Anyone who buys taxable goods and services that are stored, used or consumed in Texas from a seller who does not charge Texas sales tax owes Texas use tax.

In NM it seems to be called a Compensating Tax.
tax.newmexico.gov › home › what is the purpose of compensating tax?
December 20, 2020 - Compensating tax helps to eliminate unfair competition from out-of-state businesses. It levels the playing field when New Mexico buyers buy property, services, or some combination of property and services from out-of-state sellers who otherwise have no gross receipts tax obligations to New Mexico.

It appears you may have just advised the OP to break the law.

 

[Hersheyfarm]

The OP doesn't say what state he is in but what you are proposing he do in order to avoid paying sales tax MAY be illegal in his state if he des not pay the states sales/use tax.

For example: Anyone who buys taxable goods and services that are stored, used or consumed in Texas from a seller who does not charge Texas sales tax owes Texas use tax.

In NM it seems to be called a Compensating Tax.
tax.newmexico.gov › home › what is the purpose of compensating tax?
December 20, 2020 - Compensating tax helps to eliminate unfair competition from out-of-state businesses. It levels the playing field when New Mexico buyers buy property, services, or some combination of property and services from out-of-state sellers who otherwise have no gross receipts tax obligations to New Mexico.

It appears you may have just advised the OP to break the law.

I dont see where that guys advised anything, and if he did its on OP or anyone else that acts on internet advice.

 

[two_bit_score]

If you don’t live in Colorado, buy your tractor there. They don’t charge sales tax on agricultural equipment to out of state residents.

There is no mechanism that I’m aware of for collecting any such use tax by my state. I bought in Colorado tax free in 2021, and that was that. When you buy a vehicle out of state, the taxes are collected when you register the vehicle, but tractors aren’t registered.

I dont see where that guys advised anything, and if he did its on OP or anyone else that acts on internet advice.

Hershey, As you can see he actually did, and his own statement puts him in conflict with NM law as described in the passage I copied from the NM.Gov site.

 

[Hersheyfarm]

Hershey, As you can see he actually did, and his own statement puts him in conflict with NM law as described in the passage I copied from the NM.Gov site.

I didn’t see that post just the one you quoted. And in that circumstance you’re correct!

States and feds will get it and waste it. Makes paying taxes disgusting.

 

[two_bit_score]

States and feds will get it and waste it. Makes paying taxes disgusting.

100% agree!