Fairlady

I heard Delaware has no sales tax. Does it mean I don't have to pay sales tax on cars and houses ? Is it going to be hard to bargain with the Audi dealer there because they may say "You have already saved money on the taxes. Why don't you go somewhere else and then compare the after-tax prices ? "

Phillip G

If you live in NJ or PA and buy a car in Delaware....you have to pay the sales tax for that state.

For example...I had to pay 7% PA sales tax although I brought the car in NJ.

Also, according to a couple of people I know that live in DE...it depends on a car's cost before the sales tax kicks in.

Rich_W

Taxes are paid in the state of registration

Jamie_NH

For now anyway

RKA

The dealer in PA should have charged you 6% sales tax (NJ). When they register the car for you, they pay NJ-DMV the NJ sales tax money. If they charged you 7%, they did so in error and pocketed the difference.

I live in PA, and if I drive to Delaware, I can purchase a car without pay sales tax. I can get a temporary transit permit to bring the car over the PA, but as soon as I fill out registration paperwork in PA, I pay 6% (7% in the city of Phila). It works exactly how Rich has described.

Fairlady

It is quiet confusing. How come you pay NJ sales tax when you buy a car in PA ? Do you live in NJ ?

If I live, buy, and register the car in DE, I guess I don't have to pay for DE sales tax...

Fairlady

Do you know the amount before DE sales tax kicks in ? If the limit is $25000, I may switch to VW...

Phillip G

Not really...I live in Philly, so I to have the privledge in paying an extra 1% sales tax.

Actually...I didn't have to pay the NJ sales tax, on the PA/Philly tax

Phil

Phillip G

forgot...they did a registration transfer from my old RS to the A4

mondo

No sales tax when I bought my 99, but there is a 2.75% registration fee..spin city!!