Viv asked:
If sales taxes had already been paid when the car was new, do they need to be paid again? I know on used car sales between private parties no sales tax is assessed, but how about on a used car purchase from a dealership, i.e. Nissan, Ford, etc..
If sales taxes had already been paid when the car was new, do they need to be paid again? I know on used car sales between private parties no sales tax is assessed, but how about on a used car purchase from a dealership, i.e. Nissan, Ford, etc..
I have seen sales tax returns for car sales, and to my understanding, resale/wholesale is non-taxable, for sales tax purposes.
Thanks in advance for your help.
AND WHY DOES THIS APPLY FOR DEALERSHIPS???
All vehicle sales are subject to Sales & Use taxes in states that levy them. Private sales ARE included; you pay the tax at the DMV when you title & register the car. If a car is sold to 10 retail customers in 1 year, the state will collect the Use tax 10 times.
In most states, the dealer doesn’t actually collect the sales tax; the DMV does. Some will let you finance the sales tax but when they get your tags for you, the finance office at the dealership cuts a check for the taxes and DMV fees and the money goes straight to the DMV.