Purchased in California registered in Colorado

Discussion in 'Prime Main Forum (2017-Current)' started by killzone4, Feb 7, 2019.

  1. killzone4

    killzone4 New Member

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    I recently purchased a Prime in California that was immediately driven back to my home in Colorado, then in Colorado I registered and Titled the vehicle.

    I paid sales tax at the California rate and was told by the Dealer I would receive the difference in tax money as a refund. Now they are changing their story, and say that since I drove the car off their lot vs having the Prime delivered to me in Colorado that I owe the California tax and will not be getting a refund of the difference.

    Doing deeper digging, it seems that this might be a uniquely California tax problem, where every other state wouldn't have charged me tax since the vehicle was going directly out of state to Colorado.

    Does anyone know if there is any way I can get the tax difference refunded? I'm considering trying CDTFA-101-DMV (sorry can't link to it due to n00b account) - It's a form for asking for a refund from the DMV

    Let me know if there is any better way
     
  2. Elektroingenieur

    Elektroingenieur Senior Member

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    I can’t give advice on your specific situation, but you might find it useful to review the California publications linked in my posting from two weeks ago, and also Motor Vehicle Dealers (PDF), Publication 34 of the California Department of Tax and Fee Administration, especially the section “Vehicles purchased for use outside California” on pages 3 and 4. That section says, to avoid a taxable sale, “You [the dealer] must establish that the vehicle was delivered to the purchaser outside California (for example, delivered by your employee or by common carrier), and that the purchaser did not take possession of the vehicle in California” (emphasis added).

    If the amount is large enough, you may wish to ask an attorney if you have a claim against the dealer.
     
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  3. killzone4

    killzone4 New Member

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    Thanks for the info @Elektroingenieur
    Yes it seems that since we took possession in California we are most likely hosed. You would think the dealership would have been aware of this issue beforehand and communicated it. It's ~$580 difference so I'm not sure that's worth a lawyer's time. Instead I'll bring a complaint to Toyota Corporate and make sure to leave a detailed review for www.marinadelreytoyota.com
     
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  4. KrPtNk

    KrPtNk Active Member

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    I would complain directly to the dealer.

    Let us know what happens and include the name of the salesman and dealership.
     
  5. PT Guy

    PT Guy Active Member

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    Kill, let it go. California made it difficult to escape their tax. It would likely have cost more than the $580 to have the car delivered across the state line. I'd never expect the salesman to know these details, and I'd be surprised if the finance guy knew them in a dealership about as far from a state line as possible.
     
  6. jb in NE

    jb in NE Senior Member

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    I don't think you will get it refunded. i did the same, bought a new Prime in CA and registered it in Nebraska. Since CA has a higher sales tax rate, the NE tax people accepted that I had fulfilled my sales tax obligations and I paid no sales tax here.

    I was aware of this when I bought the car, and with the lower sales price in CA I came out well ahead even with the 1.75% sales tax difference.
     
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