Understanding Sales Tax and One Trip Permits

When taking delivery of a vehicle and driving with a One trip permit, it is important to be aware that sales/use tax is due. However, there are ways to avoid paying sales tax if certain conditions are met.

Sales Tax Due

If you choose to take delivery of the vehicle and drive with a One trip permit, you will be required to pay sales/use tax on the purchase.

Avoiding Sales Tax

To avoid paying sales tax, the vehicle must either be transported out of state on a flatbed vehicle or delivered to you out of state. By meeting these criteria, you can bypass the requirement for paying sales tax.

Additional Fees

It is important to note that even if you qualify for exemption from sales tax by transporting the vehicle out of state, you may still incur a $33 efiling fee for processing a title only or transfer only. This fee is separate from the sales tax exemption but should be taken into consideration when making arrangements for your new vehicle.

One Trip Permit Benefits

The one trip permit not only exempts you from full registration fees but also allows temporary use of the vehicle without having to complete full registration requirements. This can provide flexibility in situations where immediate transportation is needed without committing to long-term registration obligations.

In conclusion, understanding how sales tax applies when using a One trip permit is essential for making informed decisions about acquiring and transporting vehicles across state lines. By following specific guidelines and considering potential fees associated with exemptions, individuals can navigate this process effectively while minimizing financial implications.