What State Has No Sales Tax on Cars?
When purchasing a vehicle, one of the most significant costs to consider is sales tax. In many states, this tax is applied to the purchase price of the car, adding an extra financial burden to buyers. However, there are several states where you can avoid this cost entirely. If you're looking to purchase a vehicle without paying sales tax, here are the states where no sales tax is applied to car sales.
Oregon
Oregon is one of the few states that does not have a state sales tax, which means that when you buy a car in Oregon, you won’t be charged any sales tax on the purchase. This makes Oregon an attractive destination for car buyers looking to save on taxes. However, it’s important to note that while there’s no sales tax, other fees, such as registration and title fees, will still apply.
New Hampshire
New Hampshire is another state that offers significant savings for car buyers. With no state sales tax, residents and out-of-state buyers can purchase cars without worrying about additional taxes. As with Oregon, you’ll still need to pay for title, registration, and other necessary fees when registering the vehicle in the state.
Montana
Montana is a popular choice for those seeking to avoid car sales tax. There’s no state sales tax in Montana, so purchasing a vehicle in the state can save you a considerable amount of money. However, if you plan to register the vehicle in another state, you may still be subject to that state’s sales tax and registration fees.
Delaware
Delaware is another state that doesn’t impose a sales tax, including on vehicles. This means when you purchase a car in Delaware, you won't be charged sales tax, which can make a significant difference in the cost of your car. Keep in mind that buyers will still need to pay for registration and title fees when transferring the vehicle to their name.
Alaska
While Alaska does have some local taxes in certain areas, there is no state-level sales tax on vehicles. This makes Alaska an appealing option for car buyers looking to save on taxes. Like the other states, though, buyers will still need to pay for vehicle registration and title fees.