Auto >> AutoSPT >  >> Electric car

Do you have to pay sales tax when buying a used car from dealer in ca?

Yes, sales tax is applicable when purchasing a used car from a dealer in California, just as it is for new cars.

In California, the sales tax rate for vehicles is 7.5%. This tax is calculated based on the purchase price of the vehicle, including any options or accessories added to the car. Additionally, there may be local sales tax rates that apply in specific cities or counties, which can increase the total sales tax due.

When you buy a used car from a dealer in California, the dealer is responsible for collecting and remitting the sales tax to the state. They will typically include the sales tax amount on the purchase contract or bill of sale along with other fees and charges.

It's important to note that the sales tax liability can vary depending on certain factors, such as the type of vehicle, its age, and whether you are a resident of California. For more information and to ensure accuracy in calculating the sales tax due, it's recommended to consult with the dealer or review the California Department of Motor Vehicles (DMV) website for detailed information on vehicle sales tax.