ORIGINAL REDDIT POST
Question about sales tax
I plan on purchasing a car right around the time I'll be buying a new home as well. If the new city I'm moving to has a significantly lower sales tax (I would save about $700), could I use my closing documents to prove residency? Or would I have to get a new…
I plan on purchasing a car right around the time I'll be buying a new home as well. If the new city I'm moving to has a significantly lower sales tax (I would save about $700), could I use my closing documents to prove residency? Or would I have to get a new license first to reflect my new address?
Collected discussion
Where do you live now, and where are you moving to? Vehicle excise taxes are primarily set by each State, in the US. Then there could be additional County fees and taxes. It's very rare the City has additional vehicle excise tax.
I currently live in West Sacramento (sales tax 9.25%) and will be moving to Rocklin (sales tax 7.25%). Same state, different county
Ok, it does appear the "sales/use" tax is affected by the County. CA does not use the term excise tsx. This should be based on the address the vehicle is registered under. When a dealer enters your information into the online portal, they would see the tax assessment. As long as their integrations are up to date, they will see the appropriate estimated tax and fees. Bottom line, I do not believe you can put your future address on the purchase documents or credit application. I am sure the registration process would want your registered address to be the controlling address. The dealer will guide you as to what address can be used.
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Thanks for posting, u/AshyLarry81! This comment is a copy of your post so readers can see the original text if your post is edited or removed. This comment is NOT accusing you of anything. I plan on purchasing a car right around the time I'll be buying a new home as well. If the new city I'm moving to has a significantly lower sales tax (I would save about $700), could I use my closing documents to prove residency? Or would I have to get a new license first to reflect my new address? I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.
Hold off on the car purchase, buy the home, transfer your driver's license, and then make the purchase. If you can't wait that long, this is more of a question for r/DMV but I have to imagine that the dealership has to file it under where your legal residence is. The closing documents just prove that you bought a piece of property, they don't prove where you reside. So the $700 is just the expedited cost of doing business instead of waiting to do it after you transfer your residence.
are you financing or paying cash? If cash you likely won't need to prove anything, if financing it's up to the bank if they stop you for POI