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Old 10-03-2016, 12:27 PM   #52
gweeks
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Quote:
Originally Posted by pwalker8 View Post
Yep, that's why one sees people buy cars in a different city or even states, to avoid the higher local sales tax. It can be significant if you are talking about big ticket items like cars.
Except most states have this thing where you have to register your car in order to get this thing called a license plate. When you do so, most states require you to pay the difference in the sales tax rates. KS/MO even have it set up so that a MO resident buying a car in KS can title the car and pay the correct tax from the KS dealer and still get a correct MO plate. It probably works the other way as way as well for the plates, but I don't know of anyone doing it that direction. That's a result of the KS/MO split of Kansas City. Go buy a car in OH as a PA resident and you'll pay the tax difference when you register. They'll look the blue book up for used cars and if you paid significantly less than blue book, you have to pay the blue book tax rate anyway. I'm sure there are states that don't bother, but every state I've ever lived in does.

Smaller purchases of course aren't always caught.

Greg
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