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Topic: Sales tax for used RV purchased in CA but licensed in another state. (Read 8 times) previous topic - next topic
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Sales tax for used RV purchased in CA but licensed in another state.
Yahoo Message Number: 128605
Hi all,
 I have hunted for an answer to this, but never seem to be able to write the correct question in the search field.
 When a used RV is purchased in CA to be taken out and licensed in another state, does someone by chance know what the rules are regarding this type of transaction?
 I can't imagine I would have to pay sales tax on it to license it in my home state and pay sales tax to CA as well, but I'd like to be certain I understand the rules. Any advice would be appreciated.

Bill
Bill
2003 -- 23' FL
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #1 –
Yahoo Message Number: 128608
wrote: When a used RV is purchased in CA to be taken out and licensed in another state, does someone by chance know what the rules are regarding this type of transaction? --- Does your email address indicate that you're a resident of New Hampshire?  If so, and you intend to register it there, you might want to visit the NH DMV website to find out the applicable licensing/registration rules:
 http://www.nh.gov/safety/divisions/dmv/ 
Joan
2003 TK has a new home
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #2 –
Yahoo Message Number: 128610
If you buy it from a private party in CA you pay no tax to the seller. Then if you take it out of state to register it there you pay no sales tax in Arizona and probably not in most other states. However if you buy it from a dealer and they don't collect sales tax because you are moving it out of state to register you will have to pay sales tax in Arizona and probably most other states. If you pay sales tax in CA and move it to another state like AZ to register they will only charge you the difference in tax if it is higher here or higher in the state you are registering it in than what you already paid in CA. Don't expect a refund if you paid more in CA. This may not answer your question directly but that's what I experience purchasing 2 RV's in CA and TX recently and then registering them in AZ. It's best to call the DMV or DOT in each respective state or check their websites to learn of the latest tax rules. As you well know states are all hungry for the tax $$ and rules are constantly changing. Read a recent blurb in the paper here in AZ that ADOT was complaining about the loss of revenue here because people were not purchasing enough new cars. On the other side how will the states collect lossed road tax when everybody will be driving driving a high mileage hybrid in the future?
    To: lifewithalazydazerv@yahoogroups.com
 From:
 Date: Wed, 15 Feb 2012 22:01:30 +0000
 Subject: [LD] Sales tax for used RV purchased in CA but licensed in another state.

Hi all,
 I have hunted for an answer to this, but never seem to be able to write the correct question in the search field.
 When a used RV is purchased in CA to be taken out and licensed in another state, does someone by chance know what the rules are regarding this type of transaction?
 I can't imagine I would have to pay sales tax on it to license it in my home state and pay sales tax to CA as well, but I'd like to be certain I understand the rules. Any advice would be appreciated.

Bill

[Non-text portions of this message have been removed]
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #4 –
Yahoo Message Number: 128631
Quote
Hi all,
 I have hunted for an answer to this, but never seem to be able to write the correct question in the search field.
 When a used RV is purchased in CA to be taken out and licensed in another state, does someone by chance know what the rules are regarding this type of transaction?
 I can't imagine I would have to pay sales tax on it to license it in my home state and pay sales tax to CA as well, but I'd like to be certain I understand the rules. Any advice would be appreciated.

Bill
Bill,
 I purchased a LD last year in CA.  Ended up paying CA sales tax as a result of the purchase.  Suggest doing all necessary work at CA DMV regarding purchase before leaving CA !!!!!!!  I registered LD in Oregon.
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #5 –
Yahoo Message Number: 128636
I would think you would owe sales tax from where you reside, not necessarialy where you purchased it.  Taking the example from the gentleman from OR, say if for example if the LD seller crossed state lines to make the sales transaction... Who get's the sales tax, CA or OR.  The place were the buyer resides and has permenant residence.
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #8 –
Yahoo Message Number: 128640
We purchased a used LD in CA in 2010, from a pivate individual.  The answer we got when we asked about sales tax (checked before making the purchase!) was that if we bought from a DEALER, we had to pay CA sales tax.  Of course, everything is always subject to change!
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #9 –
Yahoo Message Number: 128642
The way it works when you buy a NEW vehicle in California is that you hire the services of a driver to drive it out of state.  You then appear before a notary in the new state (typically, Arizona or Nevada) to sign papers taking possession of the vehicle, thus eliminating the need to pay California sales tax (this only works, of course, if you are not a California resident and you are going to be registering the vehicle in another state).  The key to avoiding California sales tax is taking possession out of state.
 Maybe it works differently for a USED vehicle, but I don't understand why and out-of-state buyer would have to pay California sales tax just because it's used when a buyer of a NEW vehicle can avoid California sales tax by simply taking possession out of state.

Linda Hylton http://earl-linda.blogspot.com
Linda Hylton
Sales tax for used RV purchased in CA but licensed in another st
Reply #10 –
Yahoo Message Number: 128654
The whole rigmarole CA put out-of-state new vehicle purchasers through, of getting a professional driver to move the new LD across state lines, then getting a notary to sign off on it is just plain silly. One should have only to visit there own state DMV ahead of time, pre-register, and then present those papers to LD at time of purchase, then drive their new LD home and register it there.
 Purchasing used vehicle is different than buying new in CA. For a CA resident, the purchase is made and then the new owner goes to DMV to register the used vehicle in his name. The DMV charges a 'use tax' on the vehicle based either on the new owner's stated or bill-of-sale price paid, of if that seems ridiculously low (some people might cheat, you know), they revert to a price list. Used vehicle sales between family members are exempted. For an out-of-state buyer, the transaction is made, then the new owner hops in and drives home, to take care of the paperwork there - - this, assuming the vehicle has current CA registration. If not, then the new owner stops by the DMV and gets a temporary paper registration to drive home.
 Some states like NV (and maybe CA too), require the in state seller to remove the old plates and turn them in to the DMV. Then the buyer goes to the DMV as mentioned, and pays a small fee for a temporary paper registration to drive home. Sales taxes, if any, are dealt with when the buyer gets home and registers the vehicle in their own state.
 NV, where I live now, charges no tax at all for used vehicle purchases.

CA is more desperate for revenue than most states.

bumper

[Non-text portions of this message have been removed]
bumper
"Yonder" '05 MB
"WLDBLU" glider trailer
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #11 –
Yahoo Message Number: 128657
Can a California resident drive the LD to the border for the new owner, instead of a hired driver?

Eric
2005 Jayco 24SS
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #12 –
Yahoo Message Number: 128658
Are you asking about buying a new rig or a used rig?
 For a new rig, the only way to avoid CA sales tax is to buy the rig outside California.  Since LD does not have any dealers, this means having a licensed ICC (Interstate Commerce Carrier) company transport the unit to an out of state location where the sale is actually conducted.
 Since for used rigs, the use tax is collected at the time of re-registration, an out of state buyer can just drive it out of state themselves.  If the registration is current for CA, nothing needs to be done.  If it does not have current CA registration, a transport permit needs to be obtained from the CA DMV.

Art
Art and Barbara
Settled in Atterdag Village of Solvang
2015-2022 fulltime in a 2016 Tiffin Allegro Bus 37AP
2002-2015 2002 LD MB
Art's blog
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #13 –
Yahoo Message Number: 128659
Here's what Publication 52 from the California Board of Equalization has to say:
 "When a purchaser exercises control over the vehicle or vessel in California prior to the planned out-of-state delivery, ownership transfers to the purchaser in California. Therefore, if any person other than the seller, or an agent acting on behalf of the seller, delivers the vehicle or vessel from California to the purchaser at an out-of-state location, ownership transfers to the purchaser in California, and California use tax applies. For example, if a purchaser asks a friend or hires a common carrier to deliver the property from California to him or herself at an out-of-state location, use tax applies."
 So, in essence, the answer to your question in "no."  YOU cannot hire anyone to drive the vehicle out of California.  In the case of buying a new Lazy Daze, it's the FACTORY who hires the driver, not you.  It's the SELLER of the vehicle that either must drive the vehicle out of California, or hire someone to do so.

You can read the entire Publication 52 at http://www.boe.ca.gov/pdf/pub52.pdf .

Linda Hylton http://earl-linda.blogspot.com
Linda Hylton
Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #14 –
Yahoo Message Number: 128660
Yup.  That's what we did when we sold our 2003 MB. We drove it to Tahoe and money changed hands in Nevada.  A added benefit is to watch the bank write the cashiers check ;o)

best, paul

"When you arise in the morning, think of what a precious privilege it is to be alive... to breath, to think, to enjoy, to love."

~ Marcus Aurelius
 Here's what Publication 52 from the California Board of Equalization has

Quote
to say:

"When a purchaser exercises control over the vehicle or vessel in California prior to the planned out-of-state delivery, ownership transfers to the purchaser in California. Therefore, if any person other than the seller, or an agent acting on behalf of the seller, delivers the vehicle or vessel from California to the purchaser at an out-of-state location, ownership transfers to the purchaser in California, and California use tax applies. For example, if a purchaser asks a friend or hires a common carrier to deliver the property from California to him or herself at an out-of-state location, use tax applies."
 So, in essence, the answer to your question in "no." YOU cannot hire anyone to drive the vehicle out of California. In the case of buying a new Lazy Daze, it's the FACTORY who hires the driver, not you. It's the SELLER of the vehicle that either must drive the vehicle out of California, or hire someone to do so.

You can read the entire Publication 52 at http://www.boe.ca.gov/pdf/pub52.pdf .
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Re: Sales tax for used RV purchased in CA but licensed in another st
Reply #15 –
Yahoo Message Number: 128667
Yes. If the CA driver is the owner.  AND they transfer ownership out of CA.

best, paul

"When you arise in the morning, think of what a precious privilege it is to be alive... to breath, to think, to enjoy, to love."

~ Marcus Aurelius

Quote
Can a California resident drive the LD to the border for the new owner, instead of a hired driver?
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