Buying in Calif. - can I drive home out of state with current tags?

[Jonny042]

Title should say it all.

Basically I want to avoid a visit to the Calif. DMV and avoid Sales Tax. And I believe they would make me pay that in order to get a temporary permit.

But my understanding is that I will get the plates with the car, and as long as the stickers are not expired, does that mean I would be OK to drive the car home through several states?

Thanks to anyone that could offer advice or a solution to the problem.

[schumicat]

You need to contact your home state DMV, they often have a "transit tag" you can get for $10-15 that you can use to drive vehicles home from out of state. I would never let someone keep the plates on a car I sold because of toll/red light cameras etc. A guy once left plates on car he sold me and a cop confiscated them in CO after stopping me for speeding, saying I couldn't keep them on after car was sold.

[porschenut]

The plates belong to the owner, not the car, so you need to get a temporary permit before you leave CA and the existing plates stay there. You'll pay sales tax to your own state/county/local jurisdiction when you register the car. There's no way to avoid it.

[tcar]

NO. In CA, the plates stay with the car. (New Mexico, too.)

In CO, the plates are removed from the car at sale, by law. Stay with the owner.

[zippy_gg]

Originally Posted by Jonny042

Title should say it all.

Basically I want to avoid a visit to the Calif. DMV and avoid Sales Tax. And I believe they would make me pay that in order to get a temporary permit.

But my understanding is that I will get the plates with the car, and as long as the stickers are not expired, does that mean I would be OK to drive the car home through several states?

Thanks to anyone that could offer advice or a solution to the problem.

The plates belong to the car in CA so you will be fine traveling to other states.
When registering your car in your home state you then remove and keep the CA plates as a souvenir, unless your local laws want to claim them.

[LuftWaffle]

Part of it depends on whether you are buying from a dealer or private party. I believe if it's through a dealer then you are stuck paying CA sales tax which then you you can apply for refund for after you get your car home and pay your state's sales tax. If it's private party then just get the title and bill of sale and go. The plates in CA stay with the car. -John

[Matt Monson]

That's right. CA plates stay with the car. Just be sure to insure it before you start driving and carry the proof of insurance with a bill of sale and the signed title with you while you transport the car home.

[RWebb]

does he have to pay Calif. sales tax?

I was thinking of buying a used car in Calif. once and the dealer told me he had to collect sale tax -- even if I immediately drove it to Oregon (maybe he was BSing me?).

[crustychief]

Originally Posted by Matt Monson

That's right. CA plates stay with the car. Just be sure to insure it before you start driving and carry the proof of insurance with a bill of sale and the signed title with you while you transport the car home.

+1 Plates stay with the car.

[boxster03]

That's right. CA plates stay with the car

Unless they are personalized plates then seller has option of transfering them to another car.

[McLovin]

Originally Posted by RWebb

does he have to pay Calif. sales tax?

I was thinking of buying a used car in Calif. once and the dealer told me he had to collect sale tax -- even if I immediately drove it to Oregon (maybe he was BSing me?).

That is true.

The only way you could get out of paying the sales tax would be for you to take delivery of the car outside of california. That means, you'd have to have the car trucked out of California to an address in Oregon, or otherwise delivered to you in Oregon. Not delivered to you in California, and then driven by you to Oregon.

Weird, but true.

How does California ever find out? They audit dealers, esp. on out of state sales where no sales tax is collected. If the dealer doesn't have airtight paperwork to show the car was delivered out of state, Cal will hit them for the sales tax.

The best documentation for a dealer is a Bill of Lading from a professional trucking company, showing the VIN, the buyer, the pickup and the drop off addresses. With that in hand, dealers should not charge an out of state buyer California sales tax.

[McLovin]

Originally Posted by Jonny042

Title should say it all.

Basically I want to avoid a visit to the Calif. DMV and avoid Sales Tax. And I believe they would make me pay that in order to get a temporary permit.

you should check with the Cal DMV.

If you are buying from a dealer, and are picking up in Cal to take out of state, you will have to pay sales tax.

But if you are buying from a private party, that probably isn't the case, since private parties aren't required (or allowed) to collect sales tax on a used car sale. If all you need in the temp permit, that should be less than $20 and no big deal.

[zippy_gg]

I wonder if you could pre-pay the sales tax in your state before picking the car up in California and showing proof to the CA dealer (if buying from a dealer).
I pre-paid the CA sales tax before picking up my bike in Florida, showed the receipt and proof of insurance at the FL DMV to get a temp plate to ride back to California.

Also if you are a AAA member you should be able to get some answers before your trip.

[RWebb]

wow

I wonder if it is legal to have the truck driver stop at a rest area and unload the car?

One could certainly have him deliver to the 1st spot on the shortest Hwy distance from the sales point to the edge of the state line...

[porschenut]

Regardless of whether you pay the tax in CA or somewhere else, you WILL pay the tax. You're not going to avoid it by getting creative.

[zippy_gg]

Originally Posted by porschenut

Regardless of whether you pay the tax in CA or somewhere else, you WILL pay the tax. You're not going to avoid it by getting creative.

You are right there is no way avoiding paying sales tax, but the point is trying to avoid paying the sales tax in CA where it is 9.75% (in L.A. County) and pay the lesser tax rate in your home county.

[Jonny042]

Originally Posted by porschenut

Regardless of whether you pay the tax in CA or somewhere else, you WILL pay the tax. You're not going to avoid it by getting creative.

What a wealth of knowledge on this board! Thanks everyone for your replies. I'm quite pleasantly suprised then that I can drive home with plates on (planning on taking the long way home). 3000 mi or so.

And, my intention was not to avoid taxes altogether, I will be paying 13% taxes and 6.1% duty at the Canadian border. SO I was really wanting to make sure I didn't have to worry about more. This theorectical sale is from a private party.

And (insurance aside) it's going to save a lot of headaches if I can show up, pay him, sign a few papers and be on my way in my new car!!!!!

[Zeke]

I don't believe you even need a permit if you buy from a PP. If the tags are current, you have as a local buyer 10 days to register the car.

From the CA DMV site: "If you purchase or acquire a vehicle from a private party, you have 10 days from the date of sale to report to DMV the change of ownership. Transfer fees must be paid to DMV within 30 days of the purchase date, even if you do not have all of the required documents. Failure to pay your fees to DMV within 30 days will result in transfer and use tax penalties."

By then, you will be long gone. The seller should record your name and info and turn it in on the form sent out every year. This will avoid any problems the new owner may incur. I think the seller can do this online and I encourage doing it ASAP.

[RWebb]

Originally Posted by porschenut

Regardless of whether you pay the tax in CA or somewhere else, you WILL pay the tax. You're not going to avoid it by getting creative.

Oregon is right next to Calif - it has no sales tax

[Danny_Ocean]

Originally Posted by zippy_gg

You are right there is no way avoiding paying sales tax, but the point is trying to avoid paying the sales tax in CA where it is 9.75% (in L.A. County) and pay the lesser tax rate in your home county.

You will (eventually) be refunded (or applied) the difference between the sale state and your home state.