Gulf Coast - La used boat tax question
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big money
05-08-2012, 07:05 AM
Does anyone know if you pay sales tax in LA on used boats coming from out of state if they were owned by a private party? When I bought my current boat from Florida, the La dept of revenue did not make me pay tax and said that was because it was a private party to private party sale. However, a local dealer is now telling me that I will be charged b/c the boat is coming from out of state. Anyone have recent experience?
Thanks for any information.
Bigsampson
05-08-2012, 07:08 AM
If you are buying it from the dealer, yes taxes have to be paid before you can register it.
If you are buying it from an individual, only on the trailer.
You may have to provide proof that the sales taxes were paid on the boat when originally purchased.
If it was registered, should not be a problem.
JayLeto
05-08-2012, 07:11 AM
If you bought the boat from out of state from a private party you can get away from paying sales tax. You will need to find documentation of where the previous owner paid sales tax in their home state, and there is a special form to fill out with the IRS. Basically the state will trade tax credits with the other state. If the boat was sold through a broker you can not do this.
Jay
JayLeto
05-08-2012, 07:11 AM
Well we posted at the same time.
Jay
big money
05-08-2012, 07:36 AM
Awesome, thanks guys.
Bigsampson
05-08-2012, 07:52 AM
Yea,
But we is consistent! :)
One small difference,
You can still avoid the taxes when going through a broker IF, you are still doing a person to person transaction and only paying the broker a fee. If you actually purchase THROUGH a broker or dealer, even if it comes from a private party, you will get stuck.
If you have a broker worth a crap, they will know how to legally get you through the process.
Go to the LDWF website and you can download the forms there.