2015 Texas Legislative Session Discussion Thread

[jerry33]

I'm curious -

I believe the law for tax on new vehicle registrations is that if the tax was paid by the buyer elsewhere, and it was greater than TX tax, the buyer wouldn't have to pay tax in Texas. If the tax elsewhere was less, they would have to pay the difference.

Is there a way they could structure the deal that tax was paid elsewhere and TX cut gets reduced?

Of course it risks pissing someone off, but reduced state income may pressure change?

In most cases, if you purchase a car for delivery elsewhere, there is no tax in the state you purchase it. If you take delivery in that state, depending upon the state, you may be taxed. In which case the amount of tax paid elsewhere goes to reduce the TX tax. If it's less that the TX tax you pay the difference. This is a minuscule amount compared to the total tax revenue from car sales.

 

[brkaus]

I have heard back from one of the House of Representatives candidates in my district. He supports direct sales. No response from the other one, although I've been told he was involved in making sure the bill stayed in committee so they didn't have to vote on it.

 

[wart]

Seriously, I think the Texas area Tesla owners groups need to come together and have a fundraiser just to poke TADA in the eye. It can't be too much to sponsor a few Little League teams, and a big/cartoon-ish check is always a great photo-op.

If we really want to emphasize that we are the future, we ought to sponsor FIRST Robotics instead.

 

[Chris TX]

If we really want to emphasize that we are the future, we ought to sponsor FIRST Robotics instead.

True, but Little League sounds better at the Capitol.

 

[wart]

True, but Little League sounds better at the Capitol.

You're right, of course. "Baseball, hot dogs, apple pie and Chevrolet."

 

[Shaggy]

The way it works is sales taxes is paid when you REGISTER the vehicle. IIRC, in Texas, the car has to be at least 6 months old for you to NOT pay Texas sales tax. There is a provision of some sort of discount if you've paid a sales tax in another state and can prove it. I briefly considered buying and registering the car in CA, let it sit in a friend's garage for 6 months and then drive it to Texas.

 

[bollar]

The way it works is sales taxes is paid when you REGISTER the vehicle. IIRC, in Texas, the car has to be at least 6 months old for you to NOT pay Texas sales tax. There is a provision of some sort of discount if you've paid a sales tax in another state and can prove it. I briefly considered buying and registering the car in CA, let it sit in a friend's garage for 6 months and then drive it to Texas.

You can immediately credit the tax paid in the other state when you register in Texas, so you'll only pay Texas tax if you have paid less than 6 1/4% when you initially registered the car in the other state.

 

[mark]

The way it works is sales taxes is paid when you REGISTER the vehicle. IIRC, in Texas, the car has to be at least 6 months old for you to NOT pay Texas sales tax. There is a provision of some sort of discount if you've paid a sales tax in another state and can prove it. I briefly considered buying and registering the car in CA, let it sit in a friend's garage for 6 months and then drive it to Texas.

You would have had to pay taxes in CA when you registered it there that are higher than the TX rate.

 

[Gentilly7]

Yeah, I got the rebate on a Volt in 2014 but I see where the program ended in 2015. That's a bummer.

 

[jerry33]

Now that you mention it do remember something about a credit. I thought it was only for propane/natural gas powered cars?

EVs were included, but it only lasted for a few months. They basically did the minimum possible so they could put it on their checklist of things done.

 

[Boourns]

EVs were included, but it only lasted for a few months. They basically did the minimum possible so they could put it on their checklist of things done.

Interesting. I didn't know about that (it was in my ICE age). I hereby retract some of my previous cynicism.