Don't go to Cali just to get your car-state tax still not waived

[aesculus]

The insane discrepancy between Fremont's 9.5% sales tax and Newport Beach's 8.0% sales tax is why we took delivery in Newport Beach instead on our 2015 P85D last year. HUGE difference... And we can always drive to Fremont for the Tesla factory tour and stay in a hotel for a LOT less than the 1.5% sales tax "surcharge".

You are only charged for the sales tax at the place the car resides, not where you buy it. If someone told you differently they were miss informed. I made sure of this when I got my car from the Factory last March.

Now for out of staters, they should only pay the flat Calif rate, not the Fremont rate. If someone (your DS) tells you differently then move up the food chain until you get the correct answer. It has to do with where the car will be registered.

 

[Garlan Garner]

Fremont, CA car sales tax is 9.5%. In my case, Virginia car sales tax is 4.15% (changed July 1, 2016). Picking up at factory means I pay CA car sales tax, according to CA laws. Virginia will only credit me 4.15% meaning I'm donating 5.35% of, let's say, $60,000 for a factory pickup.

$3,210 to CA that I'll never get back.

A lot of states are not this way. I can buy a car in MD, put 60 day temp tags on it, drive it home to VA, and only pay VA tax 59 days later.

Wouldn't it be cheaper to just pick it up in Virginia?

 

[Garlan Garner]

Can anyone answer this question for me? Is picking up the car in California an option for everyone?

 

[melindav]

VA, right? Don't you pay income tax on everything you earn?

Now THAT is a crime! Figuratively speaking of course...

and don't get me started on paying Oregon income tax and Washington sales tax

 

[melindav]

Can anyone answer this question for me? Is picking up the car in California an option for everyone?

believe so, but doesn't mean that puts one into the west coast delivery timing. I would expect that would still be based on your home address.

 

[deonb]

and don't get me started on paying Oregon income tax and Washington sales tax

How'd that happen?

 

[melindav]

How'd that happen?

living in WA and working in OR.

 

[T34ME]

Can anyone answer this question for me? Is picking up the car in California an option for everyone?

Yes, it is an option for everyone, but not necessarily the best option. I live in California, I will be picking my car up at the factory to save the destination charge while paying the tax rate in my district which is lower than Fremont. It is a win/win scenario for me (but necessarily for everyone). And thanks to Governor Brown and the Brexit vote, California State has now moved up to the 5th largest economy in the world!

 

[deonb]

living in WA and working in OR.

Always wondered how that one would work.

 

[melindav]

Always wondered how that one would work.

it sucks - especially because OR revenue has a slightly higher tax rate for out of state employees - so not only pay OR tax, but at a premium over OR residents.

 

[T34ME]

and don't get me started on paying Oregon income tax and Washington sales tax

You've got it all wrong! If you want to work the system, you should live in Oregon and work in Washington.

 

[JoeCoolMan24]

You got me there. I have no idea what you mean.

Well it wasn't a riddle. So I'm not sure what part needs clarification...

 

[tga]

Nope, that won't work. You have to prove that you are a permanent Oregon resident with a permanent street address other than a private postal mail box. Oregon supports its infrastructure with property tax rather than a sales tax. If you are going to purchase sales tax free in Oregon, they want to make sure you are supporting their infrastructure with property tax. Oregon is aware of all the scams.

What scam? A resident of NH can't buy a car in OR? Neither state charges sales tax. I'm not trying to get out of anything, as I wouldn't have paid sales tax purchasing in my home state.

 

[ohmman]

mod note: renamed thread for accuracy (s/anymore/still)

 

[azdryheat]

Yes, it is an option for everyone, but not necessarily the best option. I live in California, I will be picking my car up at the factory to save the destination charge while paying the tax rate in my district which is lower than Fremont. It is a win/win scenario for me (but necessarily for everyone). And thanks to Governor Brown and the Brexit vote, California State has now moved up to the 5th largest economy in the world!

I was under the impression that even if you picked up at the factory, you paid the destination charge.
Can someone confirm this?

 

[melindav]

You've got it all wrong! If you want to work the system, you should live in Oregon and work in Washington.

actually, oregon would still get you for income tax if you lived in OR and worked in WA - but good try

 

[T34ME]

What scam? A resident of NH can't buy a car in OR? Neither state charges sales tax. I'm not trying to get out of anything, as I wouldn't have paid sales tax purchasing in my home state.

If you take possession of a CA manufactured car in Oregon, you will pay California sales tax to CA. As a NH resident, if you want to avoid sales tax you will have to take possession in NH.

 

[melindav]

If you take possession of a CA manufactured car in Oregon, you will pay California sales tax to CA. As a NH resident, if you want to avoid sales tax you will have to take possession in NH.

I don't believe that's correct. Oregon isn't going to charge CA sales tax unless it was selling to a Californian. Where the car came from doesn't matter, it's where it's sold and where the buyer lives. When I purchase a car in Oregon, the store/dealer would charge WA tax as part of the WA vehicle registration. Not sure they would collect tax for states across the country at all, and there is no reason they reasonably could collect CA sales tax - especially for someone in one of the few other sales tax free places

 

[TaoJones]

I am disappointed but not surprised, first by the myopic statements attributed to various legislators a couple of months ago, and then by this latest bogus development.

How nice it would be if the local, county and state folks who are supposed to represent the Bay Area, including the presidents of the local and regional chambers of commerce, gave the obstructionist legislators an earful.

I spent hundreds of dollars picking up my chariot from the factory, and that was only from/to LA County. I would have happily spent thousands to do the same from, say, the northeast. Plenty to see in California during a week of shakedown road trips, for example.

Not sure what's more troubling - the myopia or the corruption inherent in various governing bodies.

 

[Akikiki]

So, in order to have a great time out with the wife, I take a few vacation days, we hop a plane to CA and tour the facility, do some tourist traps and fly home, while Tesla ships my new 3 to either Nashville or Atlanta {maybe somewhere in AL if they allow Tesla to sell in-state by then}. Then, at delivery time, a short road trip to pick the car up and do some of their tourist traps in one of those cities too. Life isn't all bad, you know!

Roll Tide ! Be sure you contact your DS to set up your factory tour. You can't just show up any more.