If you live in IL and buy a car in MO, do you have to pay the taxes for both states or just IL?

9 Answers

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  • 1 decade ago
    Favorite Answer

    I dont believe you have to pay taxes to either.

  • 1 decade ago

    You will have to pay taxes on the car BUT, it depends on how each state collects it's taxes. Some states (i.e. Wisconsin) can not collect taxes for another state. So if an out of state resident buys a vehicle in WI, no taxes are involved, they are issued a temporary WI license plate good for 30 days, and they will receive a WI title (WI is NOT a title holding state like Colorado). When they get the WI title, they go to the DMV of the state that they live in and pay their local taxes on the cash selling price of the vehicle and at that time the vehicle will be registered to that state. You will, however, ALWAYS pay taxes for where you live. If MO can collect taxes for IL, then you will pay IL taxes. If you are buying from a dealership, ask to speak with the finance manager to find out how IL deals with situations like that.

    If you are leasing a vehicle from another state, this is a totally different process because taxes are figured only on your payments in a lease and if you lease a vehicle, 95% of the time the leesor or leasing institution will keep the title.

    Source(s): Finance Manager at a car dealership. Deal with this all the time.
  • ierna
    Lv 4
    3 years ago

    Pennsylvania calls so you might pay tax on any vehicle till now it extremely is initially registered. whether, in case you paid taxes to a different state (subsequently, Maryland), you will use that as a credit to what you owe PA. considering Maryland and Pennsylvania at the instant have the comparable revenues tax cost of 6%, you will pay the tax to Maryland. Then carry onto the crimson slip, so which you would be able to prepare which you already paid the tax to Maryland. in basic terms distinction is that in case you reside in Allegheny or Philadelphia County, you will owe the added a million% (or 2% in Philly, in case you do no longer do it quickly).

  • Anonymous
    1 decade ago

    Just the MO tax - you can deduct the MO tax paid on your IL taxes.

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  • Anonymous
    1 decade ago

    You pay taxes in the state where you live.

  • 1 decade ago

    NO, you pay IL only.

    You have to let the dealership know you are from IL and trust me, you'll pay your taxes when you go to plate it!

  • Anonymous
    1 decade ago

    You can sign an out of state exemption and pay the tax in your home state

  • Anonymous
    1 decade ago

    You have to pay the taxes usually in your residence state since that is were the vehicle will be titled from.

  • Anonymous
    1 decade ago

    You will pay MO only

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