Arizona Sales Tax On Cars
State lawmakers are weighing a proposal by the arizona automobile dealers association to require anyone who sells a used car or truck to collect the states 56 percent sales tax the same as.
Arizona sales tax on cars. County tax can be as high as 07 and city tax can be up to 25. In arizona the sales tax for cars is 56 but some counties charge an additional 07. I didnt have to pay it up front. Arizona collects a 66 state sales tax rate on the purchase of all vehicles.
The last rates update has been made on february 2020. If you want to register it in minnesota youll owe the difference between that and minnesotas tax rate of 65 percent which would be 107 percent to the minnesota dmv. Some cities can charge up to 25 on top of that. The other taxes specific to arizona are the title tax of 4 the plate transfer tax of 12 and the registration tax of between 8 and 120.
For a 15000 used vehicle that has been registered in arizona for two years the equation would look like this. For example say you buy a car in wisconsin and pay 543 in sales tax. 60 1625 x 2 2750 then 15000 x 02750 4125 then 4125100 4125 then 4125 x 289 11921 vehicle license tax. You still pay sales tax but its arizona sales tax.
Learn more about az vehicle tax obtaining a bill of sale transferring vehicle ownership and more. The dealership usually has an arrangement with a third party company that deals with licensing and providing tags when selling to out of state clients. Arizona provides an exemption if you plan to register the car in one of these states meaning you will not have to pay a sales tax even if the transaction occurs in arizona. There is also 315 out of 550 zip codes in arizona that are being charged city sales tax for a ratio of 57273.
For states that have a tax rate that is less than arizonas 56 tax is collected by the state of arizona at the time of purchase. Nonresidents from these states also qualify for an exemption thanks to arizona statute and will pay no state or county tax. The dealership charged me arizona sales tax when i bought my car which was cheaper than the ny sales tax i would have paid. Other 2020 sales tax fact for arizona as of 2020 there is 92 out of 269 cities in arizona that charge city sales tax for a ratio of 34201.
Many states offer car owners a tax credit for any tax theyve already paid on a car. Last sales taxes rates update. It got rolled into my car payments. Get the facts before buying or selling a car in arizona.