Vehicle Sales Tax Law and Legal Definition

Vehicle sales tax laws are governed by state and local laws, which vary by jurisdiction. Typically, the sales tax is paid in the county where the purchaser resides, and is due prior to first registration of a vehicle and within a certain number of days from the date of purchase. A sales or use tax due can usually be paid without registering the vehicle. This usually requires a dealer invoice, purchase order or notarized bill of sale specifying:

1. Year

2. Make

3. Vehicle Identification Number

4. Date of Purchase

Exemptions from sales taxation may be provided for certain vehicles, such as certain church transportation vehicles, child care facilty transportation vehicles, interstate trucks and truck tractors with apportioned registration, interstate charter buses, and interstate trailers and semitrailers, and others. Local laws should be consulted for specific requirements in your area.