Does your state tax your cars?!?!

So I moved to NC almost a year ago... and I got a bill in the mail today for $170 bucks that the state is taxing me for my car!!! This is crazy, in NY I never got taxed for having a car....grrrr

Now, is this tax from a car (new or used) that you purchased within this fiscal year? Or is it tax for a car that you have owned for a while?

I know all states have a car sales tax, but an annual tax on currently owned vehicles is a rarity, I think.

[quote948280cf11="jeagle82"]Now, is this tax from a car (new or used) that you purchased within this fiscal year? Or is it tax for a car that you have owned for a while?[/quote948280cf11]

I just bought it. It's new

Then that's what it is. It's your state's car sales tax. It varies from state to state on what percentage. Here in TN, it's fairly high at 7%. When My wife and I bought a 1 year old Civic Hybrid for just over $15,000 (hell of a deal), we ended up paying just over $1,600 more after state taxes, $250 doc fee, and title and registration fees.

To be honest, $170 seems like nothing if that is indeed what your state is charging you for a new car purchase.

[quote9f10696137="jeagle82"]Then that's what it is. It's your state's car sales tax. It varies from state to state on what percentage. Here in TN, it's fairly high at 7%. When My wife and I bought a 1 year old Civic Hybrid for just over $15,000 (hell of a deal), we ended up paying just over $1,600 more after state taxes, $250 doc fee, and title and registration fees.

To be honest, $170 seems like nothing if that is indeed what your state is charging you for a new car purchase.[/quote9f10696137]

It's just odd that when I bought my last car only about a year or two ago I never had to pay any of this crap in NY....

[quoted6c9165df1="jeagle82"]but an annual tax on currently owned vehicles is a rarity, I think.[/quoted6c9165df1]
Not that rare. It's usually a local municipality thing. My city/county and several others I've lived in over the years charges an annual property tax (ad valorem) on vehicles. It varies by type & value of vehicle. If you live within the city limits here, a brand new $40K-$50K vehicle pays about $500-$600 the first year, and it typically decreases as the vehicle depreciates. When we moved out of the city limits and into the county, my annual vehicle tax (as well as home property tax) dropped significantly, as the city has a high tax base here.

NY FTW!!

[quotee2cfe60f89="dmorris68"][quotee2cfe60f89="jeagle82"]but an annual tax on currently owned vehicles is a rarity, I think.[/quotee2cfe60f89]
Not that rare. It's usually a local municipality thing. My city/county and several others I've lived in over the years charges an annual property tax (ad valorem) on vehicles. It varies by type & value of vehicle. If you live within the city limits here, a brand new $40K-$50K vehicle pays about $500-$600 the first year, and it typically decreases as the vehicle depreciates. When we moved out of the city limits and into the county, my annual vehicle tax (as well as home property tax) dropped significantly, as the city has a high tax base here.[/quotee2cfe60f89]

Oh ok, intersting. Didn't know that. You learn something new everyday. )

Hey dmorris you live in Georgia right?

Here is a way to skip paying one year on your car ad volorum.

Purchase your car in the mear the end of month that your old tags were due to expire. By the time all the paperwork goes through your tags will not expire until the following year.

I bought two new cars last year on in July and one in October with tags on both cars expiring in october. I had to pay the tax on the first car but no on the second.

[quotefbce61bfde="Big War Bird"]Hey dmorris you live in Georgia right?

Here is a way to skip paying one year on your car ad volorum.

Purchase your car in the mear the end of month that your old tags were due to expire. By the time all the paperwork goes through your tags will not expire until the following year.

I bought two new cars last year on in July and one in October with tags on both cars expiring in october. I had to pay the tax on the first car but no on the second.[/quotefbce61bfde]
Yeah, I've done that several times. In fact, you don't have to buy in the same month your tag expires. I believe it's a 90 day period -- if you're inside 90 days, the car dealer buys your tag for the following year. I'm not positive it's 90 days but that's what I seem to remember. My last vehicle was bought in August and my tags expire in March, so I only got a 9 month break or so before having to pay the ad valorem. They still get you though, you're just putting off the taxes for one year.

I just paid off that vehicle last month, so I guess it's time to look for a new one. I can't bear being with a car payment. </sarcasm>

Isn't it just the tab fees that you pay every year?

Taxes.... Thats why you vote Libertarian.. Ron paul works to for now.

[quoteecb8c1147d="ILoveToys"]Isn't it just the tab fees that you pay every year?[/quoteecb8c1147d]
No, it's in addition to. Tag fees are fixed from year to year, while ad valorem taxes are assessed upon the value of the vehicle, just like property taxes on your home. However you normally pay your ad valorem taxes along with your tag renewal every year -- for us it's all listed on the renewal invoice. You can't pay one without the other. Obviously not everywhere has an annual vehicle tax, so they would just pay the separate tag fee.

Thats insane.. a tax for having a car? whoah.
I just moved to TN I was about to buy a car.. I hope i don't have some crazy tax that i didn't have in NY, aside from just the sales tax..

[quotef2e7a472ca="PrizecarnivalNATE"]Thats insane.. a tax for having a car? whoah.
I just moved to TN I was about to buy a car.. I hope i don't have some crazy tax that i didn't have in NY, aside from just the sales tax..[/quotef2e7a472ca]

Hey man. I live in TN, and when we bought our new car a few months ago in June, we did not have any extra fees, except for the anticipated state sales tax, tag and license.

When I bought my car of course I had to pay taxes, fees, plates, etc all that good stuff but I believe their taxing me on how much my loan is... ?? But it's just stupid on my other car in ny I never had to pay such a fee every year...

so if I buy a motorcycle for 1100 from out of state, from a private party, will I have to pay sales tax in my home state? As for fees, plates ect... how much should I expect on this?

When I bought my car, the dealership paid all my registration and fees, I think they have to in this area.

Ok so I asked my bro who lives in NC and he said they have a tax on cars just for having it. That insane to me... but thats what he said. I think its based on how much its worth..

[quote461e83424a="jeagle82"][quote461e83424a="PrizecarnivalNATE"]Thats insane.. a tax for having a car? whoah.
I just moved to TN I was about to buy a car.. I hope i don't have some crazy tax that i didn't have in NY, aside from just the sales tax..[/quote461e83424a]

Hey man. I live in TN, and when we bought our new car a few months ago in June, we did not have any extra fees, except for the anticipated state sales tax, tag and license.[/quote461e83424a]
That doesn't mean you don't have one. As we discussed earlier, you don't normally pay an ad valorem when you buy the car. If you have one, it'll show up on next year's tag renewal.

That said, I just asked a co-worker who lives in Chattanooga (Hamilton Co.) and she said they have no vehicle ad valorem. That doesn't liguaranteeli that all counties in TN won't have one, but she said she's never heard of one in the state. TN doesn't have a state income tax either, but many municipalities make up for that with enormous sales tax (Chattanooga is 9.5%, for example).

[quote461e83424a="PrizecarnivalNATE"]Ok so I asked my bro who lives in NC and he said they have a tax on cars just for having it. That insane to me... but thats what he said. I think its based on how much its worth..[/quote461e83424a]
Did you read the earlier posts? That's what we were talking about -- it's an ad valorem tax, and many state municipalities collect it.

Vehicle ad valorem tax is considered a form of property tax, and [b461e83424a]states[/b461e83424a] do not set or collect property taxes. They are collected by local municipality (city/county). Most states however do set limits on how much property tax can be assessed.

[quote1040e22ac7="PrizecarnivalNATE"]Ok so I asked my bro who lives in NC and he said they have a tax on cars just for having it. That insane to me... but thats what he said. I think its based on how much its worth..[/quote1040e22ac7]

yeah... wtf is that! stupid...