[tturedraider]

Howdy, y’all.

Would any of y’all know if an out of state buyer in a private party sale from a California seller has to pay California sales tax if he comes to California to pick up the car from the seller? I’m guessing in this situation the answer is no, but I know that when buying from a California dealer if the out of state buyer takes possession of the car within the state he has to pay California sales tax, so I’m a little concerned. We are talking about California after all. Please tell me my concerns are unfounded. Thanks!

[ErikB]

I don't think so, he will pay sales tax in his state when he registers the car.

[erickonphoenix]

yep, California seller is tax liable to California for income from the sale.

You're liable for sales tax on the vehicle in your state of residence unless you live in Alaska, Delaware, Montana, New Hampshire, and Oregon.

[AlmondJayRoM3]

For the most part, sales tax is paid by the buyer when registering the car if done private party. I’ve done this when I lived in Washington State.

As a private party seller you usually won’t pay tax for the sale unless you made a profit from the sale.

[9320.f30]

To answer your question OP, buyer pays tax in state of registry. This is why supercars / hypercars are often registered in states with no sales tax and you see Montana, or other, plates.

[Gen13 F36]

Originally Posted by erickonphoenix

yep, California seller is tax liable to California for income from the sale.

You're liable for sales tax on the vehicle in your state of residence unless you live in Alaska, Delaware, Montana, New Hampshire, and Oregon.

Income from sales...just put down $1 income😏🤣