Quote:
Originally Posted by Screwly
Quote:
Originally Posted by Nachos Libres
What you owe on your trade-in doesn't have any effect on the sales tax. All that matters is the sales price of the X7 minus the value they are giving you for your trade-in. So if $87,500 is the price and the dealership is giving you $20,000 for the value of your car you are trading in then you will be assessed tax on $67,500. It doesn't matter whether you owe $15,000 on that car or $25,000, the sales tax will be the same.
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Thanks for the clarification! I kinda thought that was the case but wasn't sure. Does it make a difference if I'm buying the car in Oklahoma? |
I think nacho is correct, you pay tax on Sales - trade in, regardless of amount owed.
Also to answer your question, no for sure. I'm 100% positive you only pay tax in your home state when and where you register the vehicle where it's garages or kept overnight.
Thus, if you live in TX, you pay TX sales tax on all cars. That 110% positive about having bought multiple vehicles out of state.