Rhode Island Sales Tax on cars and trucks Rhode Island: breter-show.ru

Rhode Island:

Taxation of car sales in RI How are vehicle sales taxed in Rhode Island?

Rhode Island Sales Tax on Car Purchases:

Vehicles purchases are some of the largest sales commonly made in Rhode Island, which means that they can lead to a hefty sales tax bill. This page covers the most important aspects of Rhode Island's sales tax with respects to vehicle purchases. For vehicles that are being rented or leased, see see taxation of leases and rentals.

Rhode Island collects a 7% state sales tax rate on the purchase of all vehicles. The maximum tax that can be charged is 725 dollars.

In addition to taxes, car purchases in Rhode Island may be subject to other fees like registration, title, and plate fees. You can find these fees further down on the page.

Do Rhode Island vehicle taxes apply to trade-ins and rebates?

How are trade-ins taxed?

Many dealerships allow you to trade-in your old car in exchange for a credit applied to the price of a new vehicle. For example, you could trade-in your old car and receive a $5,000 credit against the price of a $10,000 new vehicle, making your out-of-pocket cost only $5,000.

In Rhode Island, the taxable price of your new vehicle will be considered to be $5,000, as the value of your trade-in is not subject to sales tax. This means that you save the sales taxes you would otherwise have paid on the $5,000 value of your trade-in.

How are rebates and dealer incentives taxed?

Many dealers offer cash incentives or manufacturer rebates on the sticker price of a vehicle in order to encourage sales. For example, a $1,000 cash rebate may be offered on a $10,000 car, meaning that the out of pocket cost to the buyer is $9,000.

Rhode Island taxes vehicle purchases after rebates or incentives are applied to the price, which means that the buyer in this scenario will only pay taxes on the vehicle as if it cost $9,000.

Other taxes and fees applicable to Rhode Island car purchases

In addition to state and local sales taxes, there are a number of additional taxes and fees Rhode Island car buyers may encounter. These fees are separate from the sales tax, and will likely be collected by the Rhode Island Department of Motor Vehicles and not the Rhode Island Division of Taxation.

Title Fee: $52
Registration Fee: $30 - $78
Plate Transfer Fee: $15

Average DMV fees in Rhode Island on a new-car purchase add up to $321, which includes the title, registration, and plate fees shown above.

Rhode Island Documentation Fees

Dealerships may also charge a documentation fee or "doc fee", which covers the costs incurred by the dealership preparing and filing the sales contract, sales tax documents, etc. These fees are separate from the taxes and DMV fees listed above.

The average doc fee in Rhode Island is $2201, and Rhode Island law does not limit the amount of doc fees a dealer can charge. Because these fees are set by the dealerships and not the government, they can vary dealership to dealership or even vehicle to vehicle.

1 - Average DMV and Documentation Fees for Rhode Island calculated by Edmunds.com

Back to Rhode Island breter-show.ru Top
** This Document Provided By SalesTaxHandbook **
Source: http://breter-show.ru/rhode-island/sales-tax-vehicles

Related pages

sales tax in santa monicacolorado resale certificate verificationidaho resale certificatefiling illinois taxeseaton park floridahancock county taxesmaine vehicle excise tax calculatorflorence indiana zip codesales tax rate sacramento capiggott arkansas zip codeottawa kansas zip codesales tax kissimmee flterrebonne parish mapcolorado dr0100vat sweden ratedarien georgia zip codelongmont taxorrington maine zip codegreenville sc sales taxbloomington il tax ratejefferson county al sales taxgordonsville tn zip codeindiana sales tax rateszip code coleman texasnys dept taxation financezip codes bloomington ilarlington virginia sales taxflorida tax bracketssales tax rate myrtle beach sczip code for east palestine ohiowestchester ny sales taxaz tax form 5000sales tax permit oklahomacamp murray zip codepaonia co zip codesales tax rate nevadazip codes in amarillo txernst and young moroccotax rate santa clara countyforsyth county tax ratesoakdale new york zip codefrench camp ca zipsaint robert mo zip codeutah sales tax formmarion south carolina zip codeknoxville tn sales tax rateallegany county taxesjessup pa zip codenys department of taxation and finance contactis labor taxable in texashillsborough county fl sales tax ratecotati ziptn sales tax exemptionwhiting iowa zip codesales tax in reno nvcalifornia sales tax calculatordepartment of motor vehicles lincoln nebraskageneseo illinois zip codemissouri tax rate calculatorel paso county tax ratezip codes for bismarck ndthurston county sales tax ratezip code for rochdale manys sales tax jurisdictionsthayer mo zip codeoak brook il sales taxguymon zip codeontario ca zipcodewhere is myton utahzip code snyder texasskamokawa washingtonzip code for jennings lahow much is sales tax in kentuckyzip code rangeley maineanderson sc county taxtax calculator connecticut