You only pay sales tax of the state you register and reside in. You might pay CA tax in the purchase, but Washington will reimburse the difference. Conversely, if you live in CA and buy in WA, you pay lower WA tax, the when you register in CA, CA will charge the difference. To be clear, you cannot be double state sales taxed...
May be accurate for WA and CA only, but not for all states when buying in CA.
The best way is as I said for a state that has a lower sales tax rate than CA (which I think is almost every state). In my example, buy in CA and ship to VA, my tax is 4.15% - if it is shipped from the dealers location and some other requirements.....see below:
Direct from CA publication 34: "Vehicles purchased for use outside California You are generally not required to report tax on a vehicle that is sold and delivered for use outside California. You must establish that the vehicle was delivered to the purchaser outside California (for example, delivered by your employee or by common carrier), and that the purchaser did not take possession of the vehicle in California."
Direct from CA pub 54: "Purchased or delivered out-of-state The applicable test period used to establish whether a vehicle or vessel purchased or delivered out-of-state is presumed to have been purchased for use in this state generally depends upon the purchase date of the vehicle or vessel. If you purchase a vehicle or vessel outside of California but first functionally used it in California, the exclusion does not apply and the purchase and use is subject to use tax. For purchases or binding purchase contracts entered into prior to October 2, 2004, and on or after July 1, 2007, through September 30, 2008, contact your local BOE office for instructions on how to qualify for this exclusion. For purchases beginning October 2, 2004, through June 30, 2007, and on or after October 1, 2008, a vehicle or vessel purchased outside of California, first functionally used outside of California, and brought into California within 12 months from the date of its purchase is also presumed to have been purchased for use in California and subject to tax if any of the following conditions occur: Purchased by a California resident as defined in section 516 of the California Vehicle Code1 , or In the case of a vehicle, subject to California vehicle registration during the first 12 months of ownership, or In the case of a vessel, subject to property tax in California during the first 12 months of ownership, or Used or stored in California for more than one-half of the time during the first 12 months of ownership. Please note: A California resident is defined to include a closely held corporation or limited liability company if 50 percent or more of the shares or membership interests are held by members who are residents of California as defined in section 516 of the Vehicle Code.
The four conditions listed above are independent conditions under which the presumption of purchase for use in California may arise. Only one of the conditions needs to be met for the presumption to apply. The presumption may be rebutted if the purchaser provides sufficient documentation as evidence to prove the vehicle or vessel was purchased for use outside California during the first 12 months of ownership. This evidence may include, but is not limited to, proof of registration of the vehicle or vessel with the proper out-of-state authority; whether the purchaser had a residence out-of-state; the location that the vehicle or vessel was insured for; the amount of time the vehicle or vessel was in California; and whether the purchaser’s move to California was voluntary or involuntary. If a purchaser brings a vehicle or vessel to California during the first 12 months of ownership and provides evidence that at the time of the purchase the purchaser had no intention that the vehicle or vessel would be used in California, this alone is sufficient to establish that it was purchased for use outside California. For example, a purchaser voluntarily moving to California within 12 months of the purchase date does not automatically prevent the purchaser from overcoming the rebuttable presumption. Instead, a voluntary move is one factor to consider, along with all the other facts and circumstances, when determining whether a vehicle or vessel was purchased for use outside of California. Please note: If your purchase is subject to tax, you may be eligible to take a credit for sales or use tax paid to another state at the time you purchased the vehicle. Please provide the DMV with a copy of the purchase agreement showing the amount of sales or use tax you paid to another state. If the tax paid to another state is lower than the use tax due to California, you will owe the difference. The DMV can handle this credit directly.
Vehicles:
The BOE may request any documentation that demonstrates out-of-state delivery and use of the vehicle outside of California during the applicable test period. Such documentation may include, but is not limited to:
A signed and notarized BOE-448, Statement of Delivery Outside California;
A copy of the purchase agreement or contract;
Documents that show delivery outside of California and who contracted for that delivery (buyer or seller);
Documents to show the first functional use outside of California;
Receipts for meals;
Receipts for lodging or campground receipts;
Receipts for fuel;
Receipts for transportation;
Documentation to show the use and location of the vehicle outside of California during the applicable qualifying period (12 months or 90 days);
Cell phone bills that show the purchaser outside of California during the qualifying period;
Registration or title documents for the vehicle or vessel in another state;
Credit card receipts/bank statements;
Insurance documents which indicate the location and time period of coverage of vehicle;
and Any other documents that would show the location and use of the vehicle outside of California during the qualifying period."
I'm not a lawyer, but after reading all this again, you could even drive it out of CA....just keep all your receipts for the trip to location X...
But I don't think Tesla wants to be involved in all of this, and thats why they keep saying you have to pay the CA sales tax...which you don't.
Dzm
