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Texas - Doe Out of State Car Buyers have to pay sales tax here?

Old 07-16-2010, 10:49 AM
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BRU
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Default Texas - Doe Out of State Car Buyers have to pay sales tax here?

Whoops - Added an e to "Do"

We're selling our C6 and the only interest we've had thus far has been from out of state. I had one buyer ask me if he would have to pay sales tax in Texas if he's buying here. I would think he'd have to pay sales tax in his state (or in Canada) to get it registered there, but not in Texas. Anyone know? Thanks.
Old 07-16-2010, 11:14 AM
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98C5RT
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Yes, the buyer pays taxes in the state in which the car is ultimately registered.

Last edited by 98C5RT; 07-16-2010 at 11:18 AM.
Old 07-16-2010, 12:40 PM
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Originally Posted by 98C5RT
Yes, the buyer pays taxes in the state in which the car is ultimately registered.
Right, but do they have to pay Texas anything?
Old 07-16-2010, 12:43 PM
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AMGPilot
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I would call the Texas Department of Motor Vehicles and ask them what you should do to sell a Texas registered vehicle to an out of state individual.

There are several steps you need to take in order to protect yourself and to ensure that your vehicle is transfered properly. They will be able to explain everything in detail to you over the phone

Their phone number is: 1-888-DMVGOTX (368-4689).

Good luck with selling you car
Old 07-16-2010, 01:27 PM
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AM.MSCL
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No they will not have to pay Texas sales tax if they are registering the car in another state.
California is one of the few states that is required.
Old 07-16-2010, 02:36 PM
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Taxes are paid when the car is registered, to whatever state it is registered.
Old 07-16-2010, 03:30 PM
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Originally Posted by Vette-Pilot
I would call the Texas Department of Motor Vehicles and ask them what you should do to sell a Texas registered vehicle to an out of state individual.

There are several steps you need to take in order to protect yourself and to ensure that your vehicle is transfered properly. They will be able to explain everything in detail to you over the phone

Their phone number is: 1-888-DMVGOTX (368-4689).

Good luck with selling you car
Okay, I just called the TXDMV (thanks for the contact info) and they confirmed that no taxes are due in Texas if selling to an out of state buyer.

Thanks for all the responses!
Old 07-17-2010, 06:18 AM
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You are welcome

Link: TxDMV Title FAQs

On their website they have "Title FAQs" and it states:

What steps should I take when I sell my vehicle?

Keep your license plates and transfer them to your new vehicle.

When you keep your license plates, the buyer has to transfer the vehicle title and this helps to protect you.

When you take off the plates, the buyer will need a Vehicle Transit Permit to drive the vehicle to the county tax office to re-title the car or truck.

Provide the buyer with all the documents needed to transfer the title:

•A signed title
•A signed vehicle title application
•The vehicle's latest registration receipt
•Any other supporting documents, such as a release of lien, power of attorney, etc.

Then, accompany the buyer to the county tax office to verify the buyer files a new vehicle title application under his/her name. If you sell or trade in your vehicle to a dealer, or if the buyer can't go to the tax office, you need to notify us of the sale by filing a vehicle vehicle transfer notification within 30 days of selling the vehicle.

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