State Sales Tax & Transferring title question on Superglide.

[dakota7557]

Hi, I purchased an 05 FXD in Oregon in February of 2005 for $12,150.  They have no sales tax in Oregon which was great.  Now that I moved back to South Dakota and tried to get my license plate transferred, they want the sales tax (which amounts to almost $400) that I didn't have to pay in Oregon.  Is there anyway to legally avoid this?  Why should South Dakota get the sales tax since I didn't buy the bike here?  I feel I've already contributed to the tax system by paying state income tax in the state of Oregon for many years while being gainfully employed there.  Any information that can be provided would be appreciated.  Thanks, Jody

[MBSKEAM]

the only way I found around this is, if you had the veh GIVEN / gifted to you....
kinda tuff to do when its in your name already...
had my uncle gift me my RG.... 


mbskeam

[Reddog74usa]

I believe your stuck with paying it. From what I understand when you relocate to another state you end up having to pay the sales tax even though you own the vehicle. Of course this depends on the state. In Maryland the ruthless a holes have no problem whipin out he kelley blue book or nada book on ya. Good luck, RD

[Phu Cat]

Florida residents:  Am I going to have to pay sales tax on the Ultra when we retire to Florida?  It was paid at the time the bike was purchased.

PC

[Panzer]

Phu,I don't think so, that would be double jeopardy.
Show them (Florida) YOUR SALES RECEIPT WITH TAX PAID.
Taxing you twice???

Panzer

[HDRDR]

You can try to get a bill of sale for much less, if you bought it from a private party? I have done that all my life, and the DMV can't say "Potty mouth"! about it or will never follow up! because they can't...good luck

[someday69]

  Well what I think happens is,,,they make yu pay the difference of what the tax was when you bought it...and there state tax,,,Like when I registered my bike here in calif....I paid  747 in jersey,,,so they only charged me another 234,,,plus lots of other stuff they come up with to the order of 424 dollars....I wrote the check,,,but I complained to the dmv manager who looked into it....ended up only pay'in 108  I hope you can find a way through the maze....

             Try to google use tax exemtion    I did'nt spell it write,,,but if  you can find it you might be able to use the use tax exemtion ...someday..

[04glide]

Tell them you paid the sales tax that was due at the time of purchase. You can't help the fact that you just happen to be in Oregon when you bought the bike. Yeah I know that won't get you far but I'd like to see the look on thier face.

[NETacomaFatboy]

As I understand it, you are not exempt from paying the Sales tax.  If you were an Oregon resident, then you do not pay the Sales tax when you transfer ownership.   But since you have Sales tax in South Dakota, you have to pay that accordingly...

[apes]

By bikes reside in Calif but are registered in Montana....no sales tax and $89 registration...FOREVER

[Reddog74usa]

So a Montana address is the ticket. 

[RoadKingTrooper]

Not so much sales tax as "ownership tax". You are taxed on it for the value by the state you are titling/registering it in
Scot

[Deye76]

NETacomaFATBOY get's it.

You needed proof of residence in Oregon, register the bike there, then transfer the title to South Dakota.
Sometimes just easier to "pay the piper".

[RVN73]

In Vermont its a "sales & use" tax and they go by the book value even if you show a receipt with a lower price

[Ultrashovel]

In Vermont its a "sales & use" tax and they go by the book value even if you show a receipt with a lower price

Yes. In California, it's called a "Use Tax". If youi purchase a used machine in another state for shipment to California, they will waive the tax in favor of California where you will be "using" the vehicle. There is no way out if you want to register your bike in California and almost all states, including Mars and the Moon. I don't know about Montana but eventually California would shut you down on an out of state registration.

Pay the tax and enjoy your ride. There's no fighting it. 

Happy Trails!

[MBSKEAM]

Well what I think happens is,,,they make ya pay the difference of what the tax was when you bought it...and there state tax

so,
if ya pay 8.9% in your state that you bought your bike in and the new state that you are moving to has only 5.0%....
do they pay you the difference? ? ? ?.....
I can see the deer in the headlight look now....LOL


mbskeam

[Scurvy]

When I was in the navy riding around with calif insurance, calif drivers license and out of state license plate was not looked upon favorably and I was given about 30 days after establishing residency to get that resolved. I learned quickly not to give them yahoos any excuse to pull me over.

Could you imagine how many bikes Montana H-D would sell if you could buy here (no sales tax) and register in your state of residence? I could just see all them Washington dealers screaming over that one.

[Dennis The Menace]

Dakota, if I understand right, you were a resident of Oregon when you bought the bike?  If so, I cant understand why hey would/could charge sales tax on the bike.  If its the use or registration when you titled/registered it in SD, I can see that the tax would be owed.  Everyone in the state that registers a vehicle is assessed some amount of tax/fee.  Wouldnt matter where it was bought, since its not a sales tax.

However, if you are a resident of a state and buy something from out of state, your resident state can try to collect sales tax on the purchase when you bring it into the resident state.  That is how it is here in Colorado.  I bought a bike (well, actualy 3) in Oregon and brought it back to Colorado when I was a resident of Colorado.  I would have to pay a sales tax when I went to register the bike, along with the registration and use taxes.

I say would have.  I avoided it by titling the bike in Oregon, and used my sisters address in Portland as my address.  Colorado couldnt do anything except give me a ticket for out of state plates (never happened).  If that did happen, I would have 30 days to register in Colorado.  It was a risk, but it paid off for me.  On 3 bikes, actually.

And, yes, that is considered breaking the law in Colorado.  So, I dont recommend what I did, but just stating what I did.  lol

The thousands I have paid to attorneys (divorce, workers comp) in this state has more than made up for any taxes I would owe the state government.

Menace

[dakota7557]

I've ridden the bike in South Dakota now since 2006 with Oregon plates that expire in Feb. 2009...Guess I've gotten my 3 years use out of it...I figured if I would have gotten stopped then I would have just paid the piper...Now it looks like the piper will be paid in Feb. 2009...Thanks for all the replys, Dakota7557

[Dennis The Menace]

Dakota, did a little looking.  Go to http://www.state.sd.us/drr2/motorvehicle/title/register.htm for more info.

The tax is a 3% excise tax on the value of the vehicle.  You either have a dealer certify the value, or you must provide a bill of sale.  Looks like a bill of sale for "$1.00" wont work, because SD will value the bike via NADA book value.  The 3% is then determined on that amount.

Its basically the same in Colorado, except the value of each year for teh vehicle will decrease and not follow a blue book.  It is just a standard depreciation amount.  Its fair, not not as fair as SD.  If you have a car that has poor resell value, you wont have to pay as much excise tax on it!!

The excise tax in SD, like in Col is an annual fee.  Mine is only 250.00 for my bike, so not bad.  Looks like if you are expected to pay 900.00 for this tax, then they are saying your bike is valued at $30,000.00.  Doesnt sound right to me, since your bike is a 05 FXD.  If that is what they say, I would have to challenge them.  Maybe even take the registration form to the dealer to certify the value.

Menace

[apes]

I think there is a time element involved too.  For example: I live in Cali. I register my bike in Montana to avoid Paying state tax with the thought that later I would then just re register it in Calif hoping to avoid the sales tax.  If I were to re register it in Cali within 90 days, I would still have to pay the Cali sales tax.  If I waited until after 90 days, there would be no extra tax levied by Cali.  I think the 90 day rule is to prevent people from buying out of state and bring it back to avoid paying sales tax but  with the best of intentions, sometimes people never know when they will be moving so there has to be a time element for unforseen events.  Quiet pipes, laydown licnese plates all help to keep Popo at bay......