East Coast buyer, but pickup in CA

[dsvick]

He is referring to an inventory $2500 charge for car deliverys from states other than your own. The original delivery charge (less$) is still paid as it is built into the sticker but you would save the additional $2500 delivery that's added to the inventory cars if picking it up at its current location.

Ahh, I didn't know he was walking about an inventory car, I thought he was talking about picking up a new, custom ordered vehicle at the factory.

 

[wwu123]

If you're referring to the delivery fee Tesla charges you pay that regardless of where you pickup you car. Everyone pays the same amount and you can't get away with not paying it.

Think you're talking about the $1200 destination and doc fee, which has nothing to do with delivery, and probably even less to do with destination or documentation. It's just another fee at this point, that is mostly unavoidable.

 

[Dan Zorrilla]

On the tax issue, I purchased my Model S in Houston and had Tesla register it in Florida. I did not pay sales tax twice. What was explained to me was that if the state you purchased in has a higher sales tax than your home state, the selling state keeps the difference.

On the delivery fee, a Tesla sales rep told me that I would have to pay the delivery regardless of where I picked it up.

On whether taking delivery in Fremont moves you up the line, I think it does based on what the sales rep knew and the newly leaked email to Tesla employees regarding them not being allowed to sell for a profit: "Deliveries of Model 3 will be generally prioritized by geography, starting with owners registered in California or those taking deliveries at Fremont."

 

[Mailman13]

I really wish people would research their particular state's sales and use tax rules before making spurious comments about being charged twice for sales tax if they pick their automobile up in Fremont, California.

Because you don't pay twice. You receive a credit from your home state on the sales tax paid to another state. If home state sales tax < California, you pay no additional sales tax. If home state sales tax > California, you pay the difference.

It has been this way at least for 30 years.

I would like to see proof of this sort of double taxation, cuz I haven't seen it, and I probably encounter more situations like this than the rest of you.

Please share with me, D.E.

I was going to buy a Chevy Bolt from California and either drive it back, or have it shipped back to Atlanta. The cars are $4000 cheaper out there and I wanted to take advantage of it. The dealership wasn't really allowed to sell it out of state at that time, so they wanted it registered to a friend of mines Calf address.

Anyway, I could not get a good answer out of Georgia, about me paying the 10% sales tax out there and getting a credit in Ga (only 7%) when I paid the taxes here. I did read it somewhere though, but could not get confirmation.

I do know that I could have paid a $350 registration fee for Calf, and then paid $1000 to ship it to Ga. I still would have saved a couple of thousand dollars.

I'm glad that I waited though, because I'm getting the Tesla 3 now.


Also, my wife is a CPA External Auditor.

 

[dgpcolorado]

Not as much fun as picking it up in Fremont but you could get the car in Oregon, which has no sales tax. I did that a few years ago and they just charged me my state sales tax, which meant that I didn't pay any more when I registered the car at home. My understanding is that Oregon only does that for certain states; if your state isn't one of those for which they have a sales tax collection agreement, my guess is that they wouldn't charge any sales/use tax and it would up to you to pay it when registering the car.

 

[NickFie]

Your plan would work.

Earlier this month I picked up my wife's Demo S 100D in Chicago Highland. At my request, Tesla processed the sale in my home state. The car had Pennsylvania license plate at Delivery, I paid only Pennsylvania sales tax. Benefit of a national sales organization vs. local dealer. Also avoided $2,000 charge and delay for local delivery.

The Blues Brothers demonstrated years ago that great road trips start in Chicago. My friend and I had an excellent journey the day after Delivery. Left about 08:30 CST, home at midnight EST. Including 30 minutes at self-serve carwash to remove salt and road dirt from Chicago's first snow on Delivery day. Three SuperCharger stops and plenty of time to acclimate to the car and its features.

 

[CSFTN]

Before assigning a comment a label as "spurrious", you might actually look into it. So are you familiar with Tennessee law regarding sales tax on new cars? If not, you are speculating.

So you "wish" I'd looked into it.

I don't claim to be correct. But I do claim to have looked into it.

I read the proposed california bill that would have changed it. I read about the legislator that felt Tesla had benefited more than she thought fair, so she actively fought the bill. I read about how the bill changed. Then I checked with Tesla sales.

The system makes no sense. I don't argue that either.

There is idiocy in the California system that taxes out of state cars. They won't register the car and issue a tag despite taking the money.

There is idiocy in a Tennessee system that doesn't recognize another state has taxed a new car first, and poached the money that should belong to Tennessee. They want the tax or they apparently won't issue the tag.

I recognize governmental idiocy. I watch the news. I appreciate it more each day.

I really don't want to spend an extra $6187.50 to find out if you are right and the Internet and Tesla sales are wrong. So I'll just let them deliver my car and I'll skip the California vacation. And I'll warn others.

You are free to make your wishes. You are free to claim your knowledge is superior based on "probably encountering more situations like this than the rest of you", despite not having checked. I think you do the reader a real disservice offering advice unless it is confirmed correct for every state.

As for me, it is now moot. My Tesla is to be delivered on Monday. And mine will be taxed exactly once.

dude, fellow TN resident, but opposite end of state.

Like you, I live within miles of the border of 2 other states. Maybe unlike you, I know plenty of people who for 1 reason or another cross those borders and buy their cars in an adjacent state and then register them in TN. I haven't ever heard any of them complain about double taxation. I will confirm shortly ....

 

[jeepn30]

I asked about picking up my CPO model S in California (where it was located), but was told by Tesla I would have to pay sales tax both there and in Illinois, as California has no tax reciprocity agreement with them. I have purchased a vehicle in Wisconsin and just paid Illinois tax as they have a reciprocity agreement.

 

[ebmcs03]

So speaking of taxes since there is only two delivery centers. Fremont and Marina DelRay. Both with 9.5% tax. What if I live in Orange County where the tax is 7.5%? Does Tesla adjust it to your registered address?

 

[cpa]

I have tried to post the California Sales and Use Tax form in its entirety with its instructions.

You can see that there are a number of supporting schedules where the seller must compute the various local sales taxes that are in addition to the statewide rate.

So, yes.

 

[MrBilly]

So speaking of taxes since there is only two delivery centers. Fremont and Marina DelRay. Both with 9.5% tax. What if I live in Orange County where the tax is 7.5%? Does Tesla adjust it to your registered address?

I picked up my model 3 at Fremont last Wed 27 Dec to drive it back home to Orange County and I was charged the 7.5% sales tax where I live not the 9.5% sales tax where I picked up the car.