Buying a car out of state
You generally owe tax to the state where you register the car. Whether it credits tax you paid to the other state:
| Home state | Credit for tax paid elsewhere? | Official rule |
|---|---|---|
| California | Yes | A vehicle bought outside California and brought in within 12 months of purchase is presumed bought for use in California (use tax due) if bought by a California resident, subject to CA registration in the first 12 months, or (nonresident buyer) used/stored in CA more than half the time. Credit is allowed for sales/use tax paid to another state. |
| Florida | Yes | Vehicles bought elsewhere and titled/registered in Florida owe 6% use tax plus surtax, with credit for a like tax (including local taxes) paid to another state, DC or a US territory. No Florida tax if used outside Florida 6 months or more before being brought in (with proof). |
| Georgia | Check with the state | Georgia residents titling a car bought out of state pay TAVT at the County Tag Office where they live. No DOR page found stating a credit for sales tax paid to another state (see flags). Out-of-state buyers who title elsewhere pay no Georgia TAVT. |
| Illinois | Yes | Bought from an out-of-state dealer: file RUT-25 within 30 days; use tax at the county rate where you register (6.25% default, 7.5% Cook, 7.25% collar counties, 6.5% Metro East), less tax properly due and paid to the other state (separately stated, proof attached). |
| Missouri | Yes | Tax paid to another state is credited; you pay only the difference if Missouri's state + local tax is higher. Use the 'NON-MISSOURI DEALER' local rate. Proof of an out-of-state trade-in is required for the trade-in credit. |
| New Jersey | Yes | NJ residents buying out of state owe NJ use tax, less a credit for sales tax paid to the other state (if that state gives NJ a similar credit). No credit for tax paid to a foreign country, or when the out-of-state purchase is delivered into NJ. |
| New York | Yes | New York gives a credit for sales tax paid to another state only where that state gives New York the same credit; whether your other state qualifies depends on its rules. See NY Tax Bulletin TB-ST-765. |
| North Carolina | Yes | Credit for sales/excise tax paid to another state within 90 days before applying for the NC title. If a vehicle bought from a dealer is titled in NC more than 90 days after purchase, no credit is allowed and full HUT is due on price + doc fee + accessories - trade-in. |
| Ohio | Yes | Ohio residents pay Ohio tax at their county rate when titling; credit for sales/use tax legally paid to another state, with proof. If the other state's tax equals or exceeds Ohio's, nothing more is due. |
| Pennsylvania | Yes | PA residents titling a car bought in another state owe PA tax less a credit for sales tax paid to a reciprocal state (REV-227 lists them). The credit can't exceed the PA rate (6%, 7% Allegheny, 8% Philadelphia). No credit for DE's registration fee; several states (e.g. NC, SC, IA, OK) are non-reciprocal for vehicles. |
| South Carolina | Check with the state | An SC resident buying out of state and registering first in SC pays the IMF (5%, max $500) to SCDMV if the dealer doesn't collect it. If the vehicle was first titled/registered in another state, the flat $250 IMF applies instead. The private-sale exclusion covers items where a sales or use tax has been paid on the transaction; no general credit rule for dealer purchases was found. |
| Tennessee | Yes | If the other state's tax was lower, the buyer pays the difference at registration, plus Tennessee's single-article tax if not already collected. If no tax was collected, Tennessee tax is due at titling. Register immediately if the car will be driven in Tennessee. |
| Texas | Yes | Texas residents who buy out of state owe 6.25% use tax on the price (less trade-in), with a dollar-for-dollar credit for legally imposed sales/use tax paid to another state (not to a foreign country). Private-party out-of-state buys use SPV procedures. |
| Utah | Yes | A Utah resident who buys outside Utah pays Utah use tax at titling, with credit for sales/use tax paid to the other state. |
| Virginia | Yes | A vehicle first titled in Virginia with a valid out-of-state title/registration in the owner's name is exempt if owned more than 12 months, or if bought within 12 months and proof of sales tax paid to another state is shown. Without proof, Virginia tax is due on fair market value. This is an all-or-nothing exemption, not a partial credit; a vehicle first used in Virginia 6+ months after acquisition is taxed on current market value. |
| Washington | Yes | WA residents who buy outside the state owe WA use tax at their residence rate, less sales or use tax paid to another state (not licensing fees, lessor taxes or foreign VAT/GST). |
Enter the tax you paid in the calculator's "Buying out of state" situation to see what is left to pay.
FAQ
Will I pay sales tax twice?
Most of these states credit tax properly paid to another state; where the official source doesn't say, we show the tax with and without the credit.
More guides
Trade-in tax credit by stateTax on a private car saleEV and hybrid registration feesGifting a car to familyDealer doc fees and state capsBuying a car out of stateNew resident checklistWhy our numbers are estimatesYearly car property and value taxesLate title and registration penalties
Estimates of government taxes and fees from official sources; your DMV or county calculates the final amount; not tax or legal advice. Every figure is taken from an official state page (quoted and dated in the sources) and can change. Dealer-set fees are not government fees. Exemptions are described, never applied for you: check the official rule and form.