So I am purchasing a used car in Kentucky - I live in VA.
The dealership tells me Kentucky requires that the dealerships collect the sales tax, tag, title at the dealership. I know they at least needed the tax and maybe just threw the others on there.

Is this legit, or will I end up paying tax a 2nd time when I get back to the DMV in Virginia?
Curious if I am getting a normal "line" from the dealer to get the total price up or if they are being honest.

Thanks,
G35Hokie

 

I could be wrong but you should only have to pay sales tax in your home state that the car is going to be titled in. I have bought two cars out of state, one of them being my G, and every time I have I only paid sales tax in my home state. So if they're saying you have to pay there you will also have to pay in VA too. Like I said, I could be wrong but from my past experiences thats what I have had to do.

 

This should be correct from my understanding as well. Sounds like they are trying to get some extra money out of you.

 

/\ true. Tax is paid in your state where car is registered.

 

There's alot of G35s in your state, you can't find any where you live?

 

I bought my G in VA and luckily got a hell of a deal. Mine was a private seller and not a dealership though. I remember seeing a good amount of G's in different parts of VA though if that is what your looking for. If you do go with a dealership then I would suggest going with a well know one and not one of those small hole in the wall ones. Take your time too. No need to rush into something and regret it later. I took my time with my search and it ended up paying off.

 

I used to sell cars to folks from out of state ALL the time through the dealership...there's 2 ways to go about doing it, if there's a lienholder involved, then just verify (get in writing) that they are collecting the VA sales tax and will be sending it back to them. The other option that we gave customers was that we would NOT collect the tax, make them sign a form stating they were responsible for it, and then you would pay it when you registered the car. I will say that 95% of my customers with a lienholder just opted for us to collect them and send it out...if it's a reputable dealer, there shouldn't be any issues as I'm sure they've done it a time or two before, good luck buddy!

 

I've only paid taxes for my state of residence. Paying the dealership and them sending it seems risking to me, just make sure you get proof you paid taxes