How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ed Johnson Your Own Question
Ed Johnson
Ed Johnson, Tax Preparer
Category: Tax
Satisfied Customers: 10760
Experience:  GPHR Cert; U.S. Treasury Tax Advocacy Panel appointee
Type Your Tax Question Here...
Ed Johnson is online now
A new question is answered every 9 seconds

Do you have to pay sales tax if you export the item out of coutry

Customer Question

item in question is a car. I live in Illinois.
Submitted: 9 years ago.
Category: Tax
Expert:  Ed Johnson replied 9 years ago.


Generally, the merchant is not required to collect and pay sales tax from you if the vehicle is purchased for delivery and use in another state or out of the country.

The problem involves use: The term use means any use as a result of ownership. Storage and transporting are considered use of a vehicle. So, a car dealership can and often do charge sales tax on the purchase of a vehicle that is going to leave the premises under the ownership of a person.

The only way to do it other wise is if the dealer ship will do up the paperwork in such a way to indicate the vehicle is being shipped out of the country, with you as the shipper.

ELSE, the vehicle has to be shipped by the dealer directly.



Related Tax Questions