MD Taxes for Out-of-State Car Purchase

That's ridiculous - I've purchased many cars out of state and paid only the Maryland tax.

Edit: purchases from both private individuals and dealers.

 

Bought my 308 in Houston Tx. Registered in Md at the normal 5%.

 

Ditto. Bought both of my current cars in VA. No changes in the law that I'm aware of; Bought the MB in January if I remember correctly.

 

i've bought cars from 5 different state outside md. no prob. if it's a 308, don't forget to lie about the sales price-save hundreds!

 

1 Audi
1 Mini
2 Ferraris

No issues.

 

If you buy from a dealer the MD MVA wants a copy of the sales receipt-they did on my first Ferrari I bought which was out of state--make sure you tell them it was a private party and hope the title from out of state reflects that.My second one was from a private party--I just showed the MVA the bill of sale myself and the owner made up for the FULL amount I paid ....You can add Illinois and North Carolina to the list. They do not charge sales tax if you register it it another state(MD)..

 

In the last few years I bought 2 cars in PA, 1 in NY, 1 in IL and 1 in VA. Never paid any tax until registered them at MD MVA.

 

I don't believe things are different in Maryland because we have had customers buy cars who are from Maryland. The sales tax you pay on a car is where you register the car. If you register the car in PA, then you pay 6%. If you register the car in Maryland, then you pay 5%. You don't have to pay the sales tax of the state you bought it in.

 

You're right Noah. By the way in Delaware the registration fee is only 2%. As far as not being truthful about purchase price of car to avoid taxes, it will return to bite you with your insurance co. If you need to make a claim they can and will ( I am told) check with DMV on price.-Bob

 

not true. most full coverage insurance offers replacement value if totaled ,stolen

 

+1 - That is correct...Insurance companies don't rely on MVA for anything except maybe a driving record...Most MVA records systems are a clusterfu$%^&---I know MD's is..

 

Mdshore bought his car from NY also, no sales tax in NY

 

usually not true as collector car insurance is stated amount. you state the amount and the premium is based on that. i imagine that's how you would insure a 308. i just bought luigi from a dealer and it said it was from a dealer right on the title. they didn't even ask me for a sales receipt. saved about $250 in taxes. when i bought my challenger about 10 years ago, they asked me how much i paid and i said 17. she said $1700? and i said yep. saved me about $800 in taxes.