Sales tax?

If a person buys a new TDI in one state, intending to drive it approximately 5000-7500 miles and then sell it in California or one of the other CARB states, is there any way to avoid paying sales tax?

Do you have to have a dealer license? Are they difficult to get?

If you buy it and sell it again before you have to register it then I think that you could avoid paying sales tax (the buyer would have to).

I have a friend who has done this with RVs a few times. He buys them on eBay before a vacation, then sells them to the second highest bidder (or puts them back on eBay) after having driven it around for a week or two.

alex

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If you buy it and sell it again before you have to register it then I think that you could avoid paying sales tax (the buyer would have to).

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That's not a real definitive answer. How long can someone drive a car that is not registered?

I was thinking of having a family member buy a new TDI for close to invoice, drive it approximately 5000 miles, then sell it to a California buyer for MSRP (letting the buyer add the last 2500 miles). This only works if we don't pay sales tax.

you just need a family or friend on a 'no sales tax state'
California is practically surrounded by 'no - tax'

Alaska
Hawaii
Montana
Oregon

or there's always 'The other coast'

Delaware
New Hampshire

search for the previous link that explained the 'CA tax- loophole'
http://forums.tdiclub.com/showflat.php?C...=14&fpart=1
(mannytranny) #3 or #4 post

And to think of those 'no-income tax' states so close...
Alaska, Nevada, Washington and Wyoming.

Must be a bunch of 'radicals' out here... /images/graemlins/shocked.gif

That doesn't work either. I would be putting up the "start-up" money, and there is only one person I know who I totally trust, who is an excellent driver, and who drives at least 2000 miles per month. And she lives in a state with a 5% sales tax.

Referring to a question asked in my first post: can she get a dealers license and avoid the sales tax -- even if she drives it daily for about 2 months before selling?