Taxes and Buying a Car

When purchasing a car, taxes can be tricky.  Taxes vary by State and sometimes by County, Parrish, or City.  Some States tax negative equity while others don’t.  If you’re trading a car in, some States deduct that amount from the taxable total.  If you’re purchasing a vehicle out of State, you’ll either pay your State tax rate at the car dealership (via a reciprocal agreement between States) or you’ll take care of taxes and fees at the DMV or Secretary of State office in your home State.  The Finance / Business Managers at most car dealerships can answer any questions you have regarding taxes when purchasing a new or used vehicle.  At Anderson Toyota and Lexus of Rockford we collect the 6.25% tax that is required in Illinois and the County we’re located in.  Being on the border of Wisconsin, we make sure to let Wisconsin residents know that they’ll only pay their 5.50% tax.

tax rate financing slider

Advertisements

Posted on January 31, 2013, in automotive, local interest, new Lexus, new Scion, new Toyota, used cars and tagged , , , , , , . Bookmark the permalink. Leave a comment.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: