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Crossing state borders for a lower sales tax?zveruga 01-02-2007, 11:50 PM I live in New York, and I heard that some people buy a car in a neighboring state to save money on the sales tax (the tax rate in my locality is 8.75%). However, I also heard that the sales tax you pay on a car is determined by the location to which it will be registered. So, is there any way for me to buy a car in another state that i DONT reside in, and pay the sales tax of that state? Thank you. exsalesman 01-10-2007, 01:32 PM You pay taxes where you register it. if you have an permenat address some where else with lower taxes is the only way. Remmeber its the goverenment and they are going to get there money knightmare1015 01-12-2007, 08:32 AM Actually he's both right and wrong. You pay the sales tax of where you buy it but you may also have to pay New York's sales tax as well. I have exp. as far as this goes. i live in VA but am extremely close to the TN state line. our stae is a common wealth and TN is not. The tax laws are very very different between the 2. but if u pay sales tax for one state they'll get you twice on the property tax in New York. Plus it might not be that bad. you can save some money because the state that you live in could be higher priced a much as 10,000 more. For example i have a 2004 Ford Ranger Edge. I payed 13,000 for it brand new in TN. I looked at the same truck in VA and the price jumped to over $20k in a measly 31 mile difference. The sales tax in VA is 6.75 %. The sales tax in TN is 9%. vBulletin®, Copyright ©2009, Jelsoft Enterprises Ltd.
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