Out of state new car purchase (MD to PA)

[Chester11]

Hi folks:

Does anyone have experience purchasing a new vehicle in MD and registering / titling in PA?

What I would like to have happen is that the PA plates on my trade-in would be transferred to the new vehicle. (It appears that MD does not have temp plates easily available at dealerships).

However, it also appears that a vehicle inspection is required in PA - even on new vehicles. This seems a bit crazy. Can anyone confirm?

Also - how is sales tax handled? I'm guessing MD tax would be collected by the dealer. However, would I also owe tax once registered in PA? The PA govt website is unclear. (I was previously burned by a transfer from NY to MD).

Any experiences would be appreciated.

 

[bugeye]

Any new car dealer should be knowledgeable with the cross border paperwork. We (in Pa) purchased two cars in New Jersey at different times from different dealers. Both went without any issues. Dealer holds $ in an account and sends appropriate paperwork with $ to Pa state. After transaction, left over $ are refunded to purchaser.

 

[JeffKeryk]

I would definitely talk to the dealer.
Earlirt this year I got an RX450h here in Silicon Valley; my sister and BIL dove it home to Gig Harbor, WA.
The car went into their name; I was just helping....
They made me pay CA tax and registration. Ouch!
Patty and Mark had to pay registration 3 weeks later in WA, but not sales tax.

So definitely find out what you can and can't do.
Good luck.

 

[Boomer]

Are you a AAA member? Ask there. Happens all the time.

 

[Gebo]

I have purchased two cars out of Florida and registered and titled in VA. I went to Virginia DMV to get proper instructions.

If I remember correctly, I paid sales tax in FL where the cars were sold. I paid registration in FL but they had some type of
reciprocal deal with VA (per VA DMV) so I didn't have to pay sales tax again because I had proof I had paid sales tax in FL.

I had to have both cars inspected in VA.

Talk with PA DMV. That is your best shot to get 100% correct info.

 

[CKN]

Originally Posted by JeffKeryk
I would definitely talk to the dealer.
Earlirt this year I got an RX450h here in Silicon Valley; my sister and BIL dove it home to Gig Harbor, WA.
The car went into their name; I was just helping....
They made me pay CA tax and registration. Ouch!
Patty and Mark had to pay registration 3 weeks later in WA, but not sales tax.

So definitely find out what you can and can't do.
Good luck.
Unless the wheels on a car purchase never touches the pavement-you owe sales tax/registration (non refundable registration-you use to be able to send the registration back along with the plates and get a refund-no more) in California no matter where you live-if you buy the vehicle in the state of California. To avoid this it needs to be trucked out with a notarized Bill of Lading-many with knowledge of this take delivery in Nevada or Arizona.

It's too bad you didn't have it shipped to them in Washington-if the sales tax and registration was more than $600.00ish then you really didn't help them at all. Nothing wrong with helping people IF you know the rules.

 

[Delta]

I've bought several vehicles in Maryland living in PA, since I live so close. Fact my latest purchase was the Tacoma in Maryland. You will pay PA sales tax and registration fees, not MD. They will send a check for the amount (or the like) to a notary in your area and that notary will send you your PA tag (the title, if you don't have a lien on, it will follow coming directly from Penndot). Once you get your registration you have 10 days from the date it was processed to get your car inspected. Also, I've always gotten 60 day temp tags from the dealers in Maryland. Same thing when I bought my GTI in Virginia.


EDIT: if you want to keep your current tag number you'll have to find out the notary that they are sending the paperwork to and contact them about it. I always just got a new tag number.

 

[Inspecktor]

Years ago, I was living in Utah and bought a new motorcycle in Minnesota. I received a Certificate of Origin instead of a title. I then registered it in Utah as a new vehicle. I don't recall whether I paid any fees in MN.

 

[Donald]

The dealer should be able to handle this.

I bought a vehicle in VT and NH. It did need to be inspected in the state I bought it in. I was given 30 day temp plates.

Trailer it back home is an option.

 

[atikovi]

Why not take the title and bill of sale from the dealer and go to a PA DMV to put it in your name and transfer the tag?

 

[Chester11]

Thanks all. Very helpful.

I will check with AAA as well. They don't seem to have a title services near me. I used them near philly when we were transferred there. (It went so smoothly I actually forgot about it until someone suggested it).

I figured this would be relatively straight forward. But nothing with the DMV ever is. (I will never understand why PA has separate license and title services locations but whatever).

 

[jstert]

i bought an ex hertz 2004 toyota corolla le in oregon in 2006 on my way back from korea and a cpo 2006 mbenz c280 in ohio in 2008, both for registration back east. i paid no sales tax (none in oregon anyway), but couldn't avoid dealer doc fees despite my argument that i will do the registration legwork, not the dealer. both sellers gave me a bill of sale and 30 day paper temp tags. i then paid sales tax, and titling and registration fees, to eastern state dmv where i got a hard tag. easy and drama free, seemed akin to a private sale. dealer doc fees are a bloody ripoff.

 

[Andrew1972]

One downside crossing state lines is lemon laws per state get murky. Eg if I buy a new car in MA the lemon laws of NH do not apply.

 

[rubberchicken]

In MD, the vehicle safety inspection process is very strict. Make sure you get the MD vehicle inspection form if you are buying from a dealer, and that it shows that it passed. I do not know what PA laws are regarding safety inspections / EPA inspections , but if it passes MD it should pass anywhere in the USA, excepting maybe California. If you get a passed MD inspection, it should fly through any PA inspection. Regarding sales tax- states are supposed to have reciprocity, so that sounds weird about CA. Your best bet is to call the PA MVA and ask them about the details. The MD MVA is very helpful, once you get past the wait time on the phone.

If Atkovi is around, he might know more details.

 

[atikovi]

Originally Posted by rubberchicken
Make sure you get the MD vehicle inspection form if you are buying from a dealer, and that it shows that it passed.


Posted 4 posts back. A MD inspection is of no use to a PA buyer. I've never gotten one until I know the buyer is in MD.

 

[Chester11]

[Regarding sales tax- states are supposed to have reciprocity, so that sounds weird about CA. Your best bet is to call the PA MVA and ask them about the details. The MD MVA is very helpful, once you get past the wait time on the phone.

If Atkovi is around, he might know more details. [/quote]


Yeah - I lived in MD for several years. Unless things changed, they did inspections once before registration, not yearly. The system allows the state to collect cash on new vehicles that sail through inspection, while the unsafe vehicles float around for years on bald tires, no brakes, and tired suspensions.

MD MVA burned me on reciprocity when I moved from NY. I paid 8% sales tax on the vehicle purchase years before. Because part of that was county, and not NY state tax, MVA stated I could not claim reciprocity, and hit me with a full 5% of the vehicle value. That was a nice welcome to the state.

Not flaming you - I appreciate the input - but just providing some background on why I am trying to go into this eyes open.

 

[slacktide_bitog]

Many times, the out-of-state dealer will collect the tax for your state

The MD dealer will give you a temp tag and will probably do the PA paperwork for you, too. They will give you the choice of going back to the dealer to get the paperwork, or they can mail it to you.

 

[Chester11]

Update here in the event this thread is helpful to someone else. AAA was the way to go - so good on whoever recommended calling them..

They echoed much of what was said here. Most big MD dealers are set up to issue PA plates / registration.

However - the big caveat they mentioned is do not pay MD tax if they try to collect it. If they specifically collect and remit PA tax with the registration package, all is good. But because the is no reciprocal agreement between the states, payment of MD tax is not recognized by PA.

Transit tag
So If they are not setup in the PA system, they may issue a MD transit tag. If they collect MD tax, and PA will also charge tax at registration.

So the MD tag would be used to transport the vehicle. Once back in PA, a temp PA tag would be issued. Vehicle inspection would be completed, and perm tags issued.

Thanks for the help all - tons of knowledge on this board, and I appreciate everyone sharing what they know.

 

[rubberchicken]

Originally Posted by atikovi
Originally Posted by rubberchicken
Make sure you get the MD vehicle inspection form if you are buying from a dealer, and that it shows that it passed.


Posted 4 posts back. A MD inspection is of no use to a PA buyer. I've never gotten one until I know the buyer is in MD.


My point was that if it passed MD safety inspection, it should pass PA easily. Generally the cost and forms are already sunk into the vehicle if it is being sold by a legit MD dealer. If they refuse to give you MD inspection certificate, that would tell me to walk away. If it was a private purchase that would change the equation. As noted, PA , along with most states, do not recognize other states safety inspections.

 

[rubberchicken]

Originally Posted by Chester11
[Regarding sales tax- states are supposed to have reciprocity, so that sounds weird about CA. Your best bet is to call the PA MVA and ask them about the details. The MD MVA is very helpful, once you get past the wait time on the phone.

If Atkovi is around, he might know more details.



Yeah - I lived in MD for several years. Unless things changed, they did inspections once before registration, not yearly. The system allows the state to collect cash on new vehicles that sail through inspection, while the unsafe vehicles float around for years on bald tires, no brakes, and tired suspensions.

MD MVA burned me on reciprocity when I moved from NY. I paid 8% sales tax on the vehicle purchase years before. Because part of that was county, and not NY state tax, MVA stated I could not claim reciprocity, and hit me with a full 5% of the vehicle value. That was a nice welcome to the state.

Not flaming you - I appreciate the input - but just providing some background on why I am trying to go into this eyes open.[/quote]
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Seems like you got burned. Since current sales tax is 6% and has been for a very long time (over 10 years) - you might have run afoul of outdated rules. Also I think reciprocity has a time limit. I have had MVA clerks fight me on details, but after escalating to a supervisor and pointing out the rules, they relented. I agree it is a messed up situation: at least one state is going to get their money, sometimes both.