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No tax in DE, PA?

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Old 05-29-2004 | 02:04 PM
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No tax in DE, PA?

I used to have a 4runner, and I was waiting to get my 8 soon.
When there was a heavy *** rain in MD on tues., I hit a puddle of
water and my car flipped over....-.-;;
Since my car was totalled, I really need to buy the 8.
I heard there is no tax in DE, PA. So I thought I could save couple thousand dollars by buying it in one of those states.
Is that a good idea? I mean would they offer pretty close type of deal? Since they're not charging sales tax, would it be harder to negotiate?
If anyone lives in DE, or PA, let me know how it is and location of
good dealers!!
I will do research on my own as well.
Thanx in advance
Old 05-29-2004 | 02:22 PM
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i believe you may have to pay tax based on what state you are from, i.e. to get it registered in maryland you would pay maryland a tax...PA has tax only DE has no tax
Old 05-29-2004 | 03:15 PM
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You pay tax on where you buy it, unless your State has a 'luxury tax' for certain purchases. So unless your resident State has such a clause, then you pay the tax rate of the purchasing State. If you paid the tax for the State you live in (granted there is no penalty from your resident State)... that would be like going on vacation, but paying your State's tax rate on purchases made in the vacationing State. Registration and Sales tax are two separate charges in several surrounding states here.
We live on the border of TN and GA. GA's rate is 2% lower, but the dealer in TN discounted the tax difference for us.

I would suggest to call a local dealership and ask to speak to someone in finance and question them on your resident State's tax practices. Then contact an out of state dealer.

Good Luck! :D
Old 05-29-2004 | 03:17 PM
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Are you sure about that? I didn't pay taxes according to where the dealership was, I paid taxes according to my home address, which was 1% lower than the dealership.
Old 05-29-2004 | 03:23 PM
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Originally posted by JasonHamilton
Are you sure about that? I didn't pay taxes according to where the dealership was, I paid taxes according to my home address, which was 1% lower than the dealership.
Did you buy your 8 within the same State? County and city tax rates are different as well.
Just as I wrote though, if you did buy it out of State, then FL. may have a clause for residents. That's why it is important to speak with both dealerships or perhaps your county clerk to clear up any confusion before you get a bill several weeks later demanding more tax $$$
Old 05-29-2004 | 03:33 PM
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It also depends on the state. Some states make you pay tax when you register the car and some pay at the dealership at point of sale. I bought a car in Kansas city, MO and paid no taxes at the time of purchase but then I brought it into Kansas to register it. I then had to pay the sales tax (at time of Kansas registration) inorder to get the car registered. So much for trying to get around the tax thing. I think they do this to recoup the monies that would be lost due to out of state purchases.

I think the here in VA you may not pay sales tax on you car put you will have to pay a titleing tax that may be at the same rate as a sales tax.

Last edited by Rotary Nut; 05-29-2004 at 03:36 PM.
Old 05-29-2004 | 04:57 PM
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From: MD
so, is it not worth it if I live in MD, and trying to buy the car in a different state with NO tax?

I'm trying to avoid tax to save some money.
Am I making my life easier just by buying in my home state?
Old 05-29-2004 | 05:13 PM
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From: PA
PA definately has tax

... there is no tax in Deleware... but thats really only useful for buying home entertainment systems and things like that, for cars they will charge you your state tax
Old 05-29-2004 | 09:34 PM
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PA has 6% tax on motorvehicles (unless Philly or Pit), and MD has only 5%
Old 05-29-2004 | 10:38 PM
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FACT: In Maryland you will pay 5% title tax when you register the car. (There is no sales tax.) You will NOT save money buying it somewhere else. Just visit the Maryland Motor Vehicle Administration webpage and you'll see.
Old 05-30-2004 | 01:53 PM
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sigh..thanx , I guess i'll have to buy it somewhere here
Old 05-30-2004 | 08:36 PM
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I lived in MD when I ordererd, but PA when I bought. I believe they charged me PA taxes up front but it took something like 6 weeks to get the registration stuff from PA. Suggest you consider buying from Fitzgerald - they have all cars on their lot discounted, so you can save probably 800-1500 off sticker.
Old 05-30-2004 | 09:30 PM
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I can buy it at the invoice in MD. or I can go down to VA and buy it for 300 below invoice.
It's just tax i'm trying to avoid...
Old 05-30-2004 | 10:15 PM
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I know this for a fact, and I disagree with what others have said. WHen you buy a car, the tax you pay is the tax for the state in which the car is to be registered. If the dealer you are buying the car from is registering the car in your home state for you - they will charge the sales tax of your home state. If you are getting temporary plates and then registering your car yourself in your home state, your DMV will require either a check for the amount of sales tax, or proof of it having been paid.
When you live in DE, you do not pay sales tax. When you register your vehicle, however, you do pay a fee based on the value of your car for a new registration. I think it is equivalent to a 6% sales tax.
I've lived in NY, NJ, PA and DE and had cars mixed and matched in all four.
Old 05-31-2004 | 05:45 AM
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Originally posted by evilbada1
sigh..thanx , I guess i'll have to buy it somewhere here
If you live near Silver Spring and plan on buying today, then I thought it worth mentioning that Darcars of Silver Spring, MD has an Internet special featuring $300 under invoice for all RX-8s (and in MTs they have a large inventory).

I just bought an AT 8 from them on Saturday, so I can verify the offer is legit (although they first asked me what I wanted to pay *over* invoice... I had to mention their own Internet special to them which they then immediately accepted). They even gave me a decent value on my trade-in (once I showed them the offer from CarMax I got last Friday...).

Maybe they are not the most honest dealer around (ex. my salesman made a math "error" of $500 to my detriment when manually totaling up the final price (refusing to use a calculator), that I *just* caught at the last minute), but at the end of the day, if you watch them closely, you can get a very good deal.

In any case, enough of my rant... Just thought it was worth mentioning.

---Dave

Last edited by drseid; 05-31-2004 at 05:51 AM.
Old 05-31-2004 | 10:08 AM
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From: MD
Is that the one on route 1 in front of University of Maryland???
Old 05-31-2004 | 12:59 PM
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Originally posted by evilbada1
Is that the one on route 1 in front of University of Maryland???
No, but I believe they are both Darcars, and owned by the same ownership though. I just don't know if the College Park location is offering the same deal (although they very well might be). If not, but the car you want is only available at College Park, I am sure Silver Spring can easily transfer it at no charge, since they are the same company...

When I went onto the Darcars of Silver Spring web site to check inventory, I remember them listing the College Park location's inventory on the same site...

As for the location, the Silver Spring Darcars location is about 5-10 miles closer to Rockville MD off of Route 29 (accessed by 495).

My salesperson's name was Keats Labule, just for reference.

Their web site is easy to find if you do a web search for Darcars of Silver Spring.

Happy hunting,

---Dave

Last edited by drseid; 05-31-2004 at 01:05 PM.
Old 06-01-2004 | 09:55 PM
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From: MD
Thank you
Old 06-09-2004 | 07:54 AM
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Just FYI, DE has a 2.75% title fee. So no place that I know of gives you a free ride.
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