Seattle area RTA registration tax

[daveuk100]

Has anyone else paid the RTA MVET that does not live inside the RTA boundary? And if so, were you able to get a refund?

We took delivery of our M3 at the beginning of October, and we live outside the RTA district. I was told at delivery that we would receive a refund for overpayment, since we live outside the district. I let 45 business days go by before I starting calling to find out why we haven't received our refund, only to be told that they are working on it. Today when I called, I was told the RTA is based on purchase location, not registration address. I looked at the registration paperwork, and it does not indicate that Tesla paid the RTA tax to the DOL.

That's weird. I'm in a slightly different situation because I did a home delivery, which I think means that my purchase location and registration location are the same (and both outside of the RTA zone). I was told by Tesla support that their internal DMV team had concluded that I should not have paid the RTA tax, but they said that until the car registration goes through (it hasn't yet) they aren't able to issue the refund.

I was told the following by my Tesla rep over email:

"...once your vehicle is registered, it will be approximately 4-6 weeks to receive refund for the amount that was paid for RTA tax. The DMV team advised they compare all vehicles registered, specifically compare the fees collected versus what fees the DOL processed"

If your registration doesn't show any sign that they paid RTA tax for you, then supposedly (based on above) the DMV team are meant to refund the difference.

 

[zmarty]

I just renewed my tabs. I live in Kirkland and I own a Model 3 Long Range RWD, purchased in May 2018..

From the purchase agreement PDF on my tesla.com account:

This is the amount of RTA tax WA DOL asked for 2019 renewal:

WA DOL Depreciation Schedule: WA State Licensing (DOL) Official Site:RTA MVET depreciation schedule

Here is the math

The base was originally $35,000. It has been a year, so they used a 5% depreciation, so the car is now 95%.

So 35000 * 95% * 1.1% = $365.75, rounded up = $366.00

 

[ChrisH]

I just renewed my tabs. I live in Kirkland and I own a Model 3 Long Range RWD, purchased in May 2018..

From the purchase agreement PDF on my tesla.com account:

This is the amount of RTA tax WA DOL asked for 2019 renewal:

WA DOL Depreciation Schedule: WA State Licensing (DOL) Official Site:RTA MVET depreciation schedule

Here is the math

The base was originally $35,000. It has been a year, so they used a 5% depreciation, so the car is now 95%.

So 35000 * 95% * 1.1% = $365.75, rounded up = $366.00

Yessss!!!!! Thank you for sharing!

 

[ChrisH]

I just renewed my tabs. I live in Kirkland and I own a Model 3 Long Range RWD, purchased in May 2018..

From the purchase agreement PDF on my tesla.com account:

This is the amount of RTA tax WA DOL asked for 2019 renewal:

WA DOL Depreciation Schedule: WA State Licensing (DOL) Official Site:RTA MVET depreciation schedule

Here is the math

The base was originally $35,000. It has been a year, so they used a 5% depreciation, so the car is now 95%.

So 35000 * 95% * 1.1% = $365.75, rounded up = $366.00

What was the total renewal if you don’t mind me asking

 

[bluhorshue]

I actually checked with my accountant before I received my car and he told me that if I pick it up I would pay RTA and all the Bellevue taxes, but if I had it delivered I would pay my local tax rate, which is lower.

Because of that I had them deliver my car, and they still charged me the RTA tax. After about an hour with the delivery person (who was clearly not an accountant) on the phone with his supervisor, and after showing them the website showing I shouldn't have to pay the RTA tax in my zip code, the supervisor agreed that I should not have to pay it, but that I should pay it and seek a refund later. It took about 4-6 months, I don't really remember, but I did eventually receive the refund.

Considering the different local tax rates in the area, everyone should be aware of the differences, Between avoiding the RTA tax and paying a lower sales tax rate in my neighborhood, it saved me about $1300. Some areas have even lower tax rates and that could make the difference twice as large, though it would also mean a very long delivery which I am not sure that they would do. That was well worth insisting that they deliver the car. At the time they were very busy and preferred delivering cars anyway to keep the SC from being overwhelmed.

 

[mister yub]

Really? I registered mine last May in SnoCo, but picked up in Bellevue. No RTA tax charged.

I actually checked with my accountant before I received my car and he told me that if I pick it up I would pay RTA and all the Bellevue taxes, but if I had it delivered I would pay my local tax rate, which is lower.

Because of that I had them deliver my car, and they still charged me the RTA tax. After about an hour with the delivery person (who was clearly not an accountant) on the phone with his supervisor, and after showing them the website showing I shouldn't have to pay the RTA tax in my zip code, the supervisor agreed that I should not have to pay it, but that I should pay it and seek a refund later. It took about 4-6 months, I don't really remember, but I did eventually receive the refund.

Considering the different local tax rates in the area, everyone should be aware of the differences, Between avoiding the RTA tax and paying a lower sales tax rate in my neighborhood, it saved me about $1300. Some areas have even lower tax rates and that could make the difference twice as large, though it would also mean a very long delivery which I am not sure that they would do. That was well worth insisting that they deliver the car. At the time they were very busy and preferred delivering cars anyway to keep the SC from being overwhelmed.

 

[zmarty]

What was the total renewal if you don’t mind me asking

The total was $579.75

 

[bluhorshue]

Really? I registered mine last May in SnoCo, but picked up in Bellevue. No RTA tax charged.

Can I ask you what sales tax rate they charged? Wherever you live in SnoCo or Bellevue? I think Bellevue is at 10.3%, and maybe they add on .3% extra for cars.

Maybe I had the RTA issue because I am in unincorporated King Co. It was eventually fixed, but it took a while.

 

[ChrisH]

My sales tax was 10.3. Took delivery in Bellevue, live in auburn

 

[strawbo13]

Just got my renewal. I bought a LR RWD in March 2018 and paid $633 for the RTA fee. My renewal says I owe $601 this year. That means that last year, the MSRP was calculated as $60,574 and this year it is calculated as $49,000. My contract clearly shows the base price as $35,000, with a bunch of options.

I'm going to call the DOL tomorrow and see if I can get my fees reduced, and a refund for last year.

 

[ChrisH]

Just got my renewal. I bought a LR RWD in March 2018 and paid $633 for the RTA fee. My renewal says I owe $601 this year. That means that last year, the MSRP was calculated as $60,574 and this year it is calculated as $49,000. My contract clearly shows the base price as $35,000, with a bunch of options.

I'm going to call the DOL tomorrow and see if I can get my fees reduced, and a refund for last year.

Good luck. I don’t think it will happen and they will probably correct those who got it based off of the $35,000 base price which is annoying.

 

[nexion]

These are the MSRPs they seem to have in the system for 2018 Model 3 of various types (see attached screenshot). The RTA I was charged is based on the 53k MSRP for an AWD, even though my MSRP without options is 35k base + 12k AWD = 47k.

Has anyone in the same situation had any luck with the dispute? Would be great to get it based off 35k or even 47k... beats 53k.

 

[booziboy]

Good luck. I don’t think it will happen and they will probably correct those who got it based off of the $35,000 base price which is annoying.

I was trying to renew my LR RWD that I took delivery last March, and guess what RTA Excise Tax $585.00. Dont know how to handle. By the time I added vanity plate fees and other $900 for renewals. I am dreading my Model X that will need to be renewed in June.

So what is the option.

 

[ChrisH]

I was trying to renew my LR RWD that I took delivery last March, and guess what RTA Excise Tax $585.00. Dont know how to handle. By the time I added vanity plate fees and other $900 for renewals. I am dreading my Model X that will need to be renewed in June.

So what is the option.

Unfortunately $585 I believe is the correct amount. Some people have just lucked out that the DOL is confused based on how Tesla marks their prices on some purchases vs others.

 

[nexion]

Unfortunately $585 I believe is the correct amount. Some people have just lucked out that the DOL is confused based on how Tesla marks their prices on some purchases vs others.

583 / 0.011 = 53k MSRP that it's being charged on

It's as if they have him listed as a 2018 Model 3 AWD. MSRP for non-AWD is 49k. May be getting overcharged.

Still, those MSRPs are too high compared to what's on my purchase agreement. I'm just not sure what I have to do to dispute it and whether or not I'd have a case. I bought the car for 47k and they're charging me tax on 53k. This adds up over the years.

 

[ChrisH]

583 / 0.011 = 53k MSRP that it's being charged on

It's as if they have him listed as a 2018 Model 3 AWD. MSRP for non-AWD is 49k. May be getting overcharged.

Still, those MSRPs are too high compared to what's on my purchase agreement. I'm just not sure what I have to do to dispute it and whether or not I'd have a case. I bought the car for 47k and they're charging me tax on 53k. This adds up over the years.

Yeah if you can show what the price of the car was they should adjust it to that. For example, a RWD LR in MSM with aero wheels and EAP was $55,500 in aug 2018. Would be nice if they went off the base of $35,000 and considered everything else extra but it seems it’s been random.

 

[booziboy]

Still better idea is to buy a small shack in middle of nowhere in the state and register the car there

 

[dlinsley]

I bought my car four weeks ago, and just got the initial registration today. The RTA fee is listed at $607, but even though I live in Seattle the $80 fee is missing and so maybe it was rolled in? Taking out the $80 and then doing the 1.1% would but the RTA portion valuing my 2019 LR AWD MSM/White/19/AP right around Base+AWD MSRP. If I don't take the $80 out, it places the valuation at the MSRP including all options and destination/doc.

Why can't they just document on the registration how it is calculated?

 

[MarkBrokeIt]

I bought my car four weeks ago, and just got the initial registration today. The RTA fee is listed at $607, but even though I live in Seattle the $80 fee is missing and so maybe it was rolled in? Taking out the $80 and then doing the 1.1% would but the RTA portion valuing my 2019 LR AWD MSM/White/19/AP right around Base+AWD MSRP. If I don't take the $80 out, it places the valuation at the MSRP including all options and destination/doc.

Why can't they just document on the registration how it is calculated?

Is it the same DOL registration that lists out all of the other individual fees (like $5 for the agent fee, and then something like 0.25 & 2.00 for some technology fees), or is it something from Tesla?

I've seen a post of the DOL version for a car registered in Seattle. It definitely has the Seattle fee broken out individually. Haven't seen the Tesla version of the doc.

 

[nexion]

Just got my registration paper and it shows $554 for the RTA tax. It's probably because the car is a 2018, so I already get 1 year of depreciation factored in based on the RTA depreciation table, even though I'm buying it in 2019.

554/0.011/0.95 = 53k

Has anyone been able to appeal the valuation? What's the process like? When I tried this for a VIN that was initially assigned to me (and then Tesla switched VINs on me), the DOL just took my name and contact info and told me they'd review it. What kind of appeal process is this if I don't even get to explain my case for why the MSRP may be incorrect?