Anyone know about registering a vehicle in South Dakota from another state?

[NicolasB]

So New York is one of the eight states that allows you to register a vehicle in a different state. I am wondering about the feasibility of registering in South Dakota where you only pay $60 a year for your registration and not all over the crazy taxes that I would pay in New York. Plus there's no state inspection to worry about and I can possibly run around without a front plate and not get haggled about it.

I just wonder if it's possible to do directly from the dealer or if I have to first register in New York before it can be re-registered to a different state?

Any thoughts or info?

 

[NicolasB]

Nobody? It's not illegal or anything

Apparently people do this when buying million dollar cars to save an Emira's worth of taxes when they register them.

 

[DerTheDer]

First you need to see what legalities this entails. First of all, review the South Dakota terms and see if you have to have a permanent resident there in that state, which would require proof in as such a bill or something with a address that belongs to you.

You also need to figure out about receiving the vehicle. If you pick it up from the dealer, you will pay your taxes and such there, however if you get it sent directly to your home, the onus is on you to pay taxes and register the vehicle. So you would be in the latter category if you were doing this.

South Dakota has a 4%, as well as Ny.

Honestly sounds like a pain in the ass, but I feel your paIn with the dual license plates and vehicle inspections...... The local place that inspected my Elise just turned into a oil change only place. They preferred that I drive it in and they didn't require putting it on a lift, just a visual inspection of the parts.

 

[mjw930]

Well, it is illegal in Florida and I find it hard to believe that NY, one of the most onerous tax states in the country, would not try to suck every last dime out of you.

Here in FL, if you physically take delivery you pay the 6% sales tax, no exceptions. Most states have reciprocal agreements but some don’t so you will pay tax there again when you go to register the car.

The only way to avoid paying FL sales tax is to have the car transported out of state by a licensed car carrier. https://floridarevenue.com/Forms_library/current/gt800030.pdf

There should be a similar document available from the NY DMV. Also, every registered dealer in NY knows the laws, just ask them.

 

[NicolasB]

According to what I've read, New York state allows it. South Dakota does not require residency and only charges $60 to register a vehicle per year. I'm still looking into the details; apparently it's very popular and South Dakota doesn't care because they make lots of money that they normally would not.

 

[Mike-engel]

According to what I've read, New York state allows it. South Dakota does not require residency in only charges $60 to register a vehicle per year. I'm still looking into the details, could apparently it's very popular in South Dakota doesn't care because they make lots of money that they normally would not.

I’ve heard this same thing but don’t know how it works.

 

[mjw930]

But what are you trying to save, sales tax? Annual tag renewal in NY is the same $60.

 

[NicolasB]

But what are you trying to save, sales tax? Annual tag renewal in NY is the same $60.

8% sales tax

 

[mjw930]

I guess the question is, “what costs are you trying to avoid”?

The South Dakota fees are:
Sales Tax 4% unless you have proof you paid at least that in another state or have an existing title to the vehicle.
Registration Fee $72
Title fee, if needed $10
Lien registration, if needed $10.

In New York the fees are:
New York collects a 4% state sales tax rate on the purchase of all vehicles. There are also a county or local taxes of up to 4.5%.
Title fee $50
Registration $52
County registration fees, typically $10
Inspection, typically done by dealer at no cost.

So, is it really worth the hassle?

 

[NicolasB]

I guess the question is, “what costs are you trying to avoid”?

The South Dakota fees are:
Sales Tax 4% unless you have proof you paid at least that in another state or have an existing title to the vehicle.
Registration Fee $72
Title fee, if needed $10
Lien registration, if needed $10.

In New York the fees are:
New York collects a 4% state sales tax rate on the purchase of all vehicles. There are also a county or local taxes of up to 4.5%.
Title fee $50
Registration $52
County registration fees, typically $10
Inspection, typically done by dealer at no cost.

So, is it really worth the hassle?

That's what I am trying to figure out. Didn't know about the previously registered status showing taxes paid. Maybe that is only for residents? Still gotta look into it. Other people register in Montana by starting a shell company or something.

 

[mjw930]

8% sales tax

Ok, so you are trying to save 4% or roughly $3700. To do that you will need to also title it there as well which means you will have to engage a service like this https://yourbestaddress.com/sd-vehicle-registration/ but they only mention registration, not titles so you may need to find some other broker to handle that transaction.

There is no way to get around the base 4% tax both states charge.

This really only makes sense for people in states that charge an annual personal property tax or license fees which can be as much as 3% of the vehicles value per year. For example, it costs me $52/year to register my Spyder in FL, it would cost me $3304 / year in Colorado.

 

[NicolasB]

Tax dodging is lame. Just pay the tax like everyone else and avoid the hassle.

I have my own business, I pay lots of taxes. Spending thousands when you don't have to is lame. For $8k I can put gas in the vehicle for years...

 

[mjw930]

I have my own business, I pay lots of taxes. Spending thousands when you don't have to is lame. For $8k I can put gas in the vehicle for years...

You aren’t going to save $8k, more like a bit less than $4k and if you don’t mind the hassle then go for it.

Like I said SD requires proof you already paid at least 4% in taxes or have a valid title and no state will issue a title if the local state taxes aren’t paid.

 

[NicolasB]

You aren’t going to save $8k, more like a bit less than $4k and if you don’t mind the hassle then go for it.

Like I said SD requires proof you already paid at least 4% in taxes or have a valid title and no state will issue a title if the local state taxes aren’t paid.

See, that is why am asking. I never read anything that said you have to show that at least 4% was paid. If that is accurate for an out of state applicant, then it makes less sense to bother with.

 

[mjw930]

See, that is why am asking. I never read anything that said you have to show that at least 4% was paid. If that is accurate for an out of state applicant, then it makes less sense to bother with.

Here’s a good FAQ from a Tax Collector in SD

Motor Vehicle Transactions

***EFFECTIVE JULY 1ST 2023 CHANGES TO OFF-ROAD PERMITS\LICENSING. SEE BELOW FAQ*** Before calling the Pennington County Treasurer's Office, you may find it more convenient to view the following information and the Frequently Asked Questions section below which contains guidance regarding motor...

www.pennco.org

And here’s a link to the form where you would apply to NY for a title without registration.

https://dmv.ny.gov/forms/mv82ton.pdf

Note section 5 on tax.

Also, no car dealer in NY can sell a car and not collect local taxes unless they are delivering it an out of state buyer Most states legally require them to deliver it out of state or to a Common Carrier but many will look the other way if you show up from out of state and have the proper temporary tag paperwork done so you can drive it home.

I’ve bought and sold dozens of cars, motorcycles and boats from and to other states. Since each state is different I need to research what’s needed so that’s why I have these links bookmarked.

The big thing with SD isn’t the initial purchase tax, it’s to get around the recurring annual taxes and fees many states have. Note my post above that someone in Colorado will be paying $3k PER YEAR to register their Emira. THATS when doing the SD registration makes sense. It’s also really popular in the RV community as many states tax them heavily too.

 

[NicolasB]

Here’s a good FAQ from a Tax Collector in SD

Motor Vehicle Transactions

***EFFECTIVE JULY 1ST 2023 CHANGES TO OFF-ROAD PERMITS\LICENSING. SEE BELOW FAQ*** Before calling the Pennington County Treasurer's Office, you may find it more convenient to view the following information and the Frequently Asked Questions section below which contains guidance regarding motor...

www.pennco.org

And here’s a link to the form where you would apply to NY for a title without registration.

https://dmv.ny.gov/forms/mv82ton.pdf

Note section 5 on tax.

Also, no car dealer in NY can sell a car and not collect local taxes unless they are delivering it an out of state buyer Most states legally require them to deliver it out of state or to a Common Carrier but many will look the other way if you show up from out of state and have the proper temporary tag paperwork done so you can drive it home.

I’ve bought and sold dozens of cars, motorcycles and boats from and to other states. Since each state is different I need to research what’s needed so that’s why I have these links bookmarked.

The big thing with SD isn’t the initial purchase tax, it’s to get around the recurring annual taxes and fees many states have. Note my post above that someone in Colorado will be paying $3k PER YEAR to register their Emira. THATS when doing the SD registration makes sense. It’s also really popular in the RV community as many states tax them heavily too.

This was the info I was looking for, and I really appreciate you sharing it. I figured there was a catch, otherwise it would be more popular here. Guess I get to pay more taxes then!

 

[PaulP]

Same people that register super cars in ND to avoid taxes in NY are probably voting for the politicians pushing higher taxes on us plebes . Just like John Kerry lecturing us on paying our fair share and then registering his yacht off shore to skip the taxes.

 

[DerTheDer]

I will legally be paying 0% sales tax on the Emira, as well as free registration, free plates and a yearly personal property tax exemption. Guess my exemption.

 

[Bilbao-Emira]

I will legally be paying 0% sales tax on the Emira, as well as free registration, free plates and a yearly personal property tax exemption. Guess my exemption.

Steeling an Emira is the way to go, 0 cost for everything and solved!!!
Steeling the gas will also help keeping the costs to minimum!!

 

[DerTheDer]

Steeling an Emira is the way to go, 0 cost for everything and solved!!!
Steeling the gas will also help keeping the costs to minimum!!

In another life that may have been a viable option, however I am paying for the Emira with my hard earned money. Scheduled for November Delivery as I placed my order early last year.