Auto registration/sales tax (Tulsa, Okay: flat fee, leasing, vehicle registration)

[Billtown]

Plan on moving to Tulsa area in next 6 months. I plan on buying a new car and not sure whether to buy before I get to OK due to sales tax and possible otehr fees. I read something about an excise tax? Is this on top of the 8+% sales tax? Registration fees?

How often are auto inspections in OK?

[BAGuy]

I believe the excise tax rate is 3.25% and there is NO Sales Tax charged for buying a car. I will let someone who knows the answers to the rest of your questions answer. Where in Tulsa are you looking at moving?

[BigOkie]

Originally Posted by BAGuy

I believe the excise tax rate is 3.25% and there is NO Sales Tax charged for buying a car. I will let someone who knows the answers to the rest of your questions answer. Where in Tulsa are you looking at moving?

That's correct; I just got through buying a new car about two months ago, and the tag/tax/title fee for mine (purchase price around $23k) was $840. Next year, the tag will be a little under $100. The excise tax IS 3.25% and cars are not assessed sales tax (at least on the line item; and I don't believe they are assessed it anyway).

Also, the excise tax is based on a percentage of the purchase price of the vehicle, as long as the purchase price is within 20% of the average retail value for that specific model vehicle. If the purchase price you provide to the OTC (that's the Oklahoma Tax Commission) is not within that 20% range, the tax will be figured within the 20% range.

Fees are weird; you are assessed a new title fee of $11, a lien processing fee of $10 given that you are making payments or leasing the vehicle (in most cases, the dealership eats that cost when they send you the dealer title) and the initial registration fee of $91 (these fees are included in my price above).

And if you're referring to safety or emissions inspections for automobiles in OK, they are no longer done. Those were abolished in 2000, but it would not be surprising if they do not reinstate them at some point. Back when we had them, the fee was $5 and they were done yearly.

[Goodpasture]

Oklahoma Motor Vehicle Excise Tax Information

Motor Vehicle: Excise Tax

Excise tax is assessed upon each transfer of vehicle, boat or outboard motor ownership, unless specifically exempted by law.

• Excise tax is collected at the time of issuance of the new Oklahoma title.
• Oklahoma residents are subject to Oklahoma excise tax on vehicles purchased in another state.
• Nonresidents who purchase vehicles in Oklahoma are not assessed Oklahoma excise tax, provided they title and register the vehicle in their state of residence.

Most vehicles are assessed excise tax on the basis of their purchase price, provided that purchase price is within 20% of the average retail value for that specific model vehicle. If the purchase price provided is not within that 20% range, a taxable value within that range is established for excise tax assessment purposes.

• The purchase price may include a deduction for any dealer rebates or discounts.
• The purchase price may not include a deduction for any traded in vehicle.
• For new vehicles, a copy of the contract, purchase agreement or bill of sale from the dealer is required.
• For used vehicles, either purchase price listed in assignment portion of conforming title certificate, a copy of a bill of sale or contract, or a notarized Declaration of Vehicle Purchase Price (Form 722-1 available for downloading from the Forms section of this site) is required.

[CENTER] Please note, in establishing an average retail value for the purpose of assessing vehicle excise tax, Oklahoma law makes no provision for adjusting the value of a vehicle due to that specific vehicle’s condition – be that condition above or below average. An average value for all such model vehicles is utilized. [/CENTER]
Standard vehicle excise tax is assessed as follows:

• New Vehicle: 3.25% of the purchase price (or taxable value, if different)
• Used Vehicle: $20.00 on the 1st $1500.00 of value + 3.25% of the remainder

Excise tax on boats and outboard motors is based on the manufacturer's original retail selling price of the unit. Boat/outboard motor excise tax is assessed as follows:

• New Boat/motor: 3.25% of the manufacturer's original retail selling price
• Used Boat/motor: For each subsequent year of age, the taxable value is decreased 35%

Excise tax on manufactured homes is based on the actual purchase price/current value of the home and is assessed in the following manner:

• New Manufactured Home: 3.25% of ½ the actual purchase price/current value
• Used Manufactured Home: 3.25% of 65% of ½ the actual purchase price/current value

Excise tax on new and used all terrain vehicles and off road motorcycles is 4.5% of the actual purchase price with a minimum of $5.00.

Oklahoma Motor Vehicle Registration Information

MV: Noncommercial Vehicle Registration

Noncommercial registration rates apply to automobiles; non commercial and non agricultural trucks; travel trailers; motor homes; motorcycles and mopeds.
Noncommercial vehicles are registered on the basis of their year of registration, as follows:
1st through 4th year of registration $91.00 5th through 8th year of registration $81.00 9th through 12th year of registration $61.00 13th through 16th year of registration $41.00 17th year and over $21.00

So a brand new vehicle used for personal transportation, will have a $91.00 Registration fee plus 3.25% (.0325) of the sale price. Farm Truck registration is $36.00.

[ectanner]

Okay, thats clear as mud. I am moving from Kentucky to Oklahoma in a couple weeks. I bought my car in Florida in 2002 and finished paying for it in Kentucky. Are you suggesting I will be paying excise tax on what I payed for my car? That was in 2002. I am confused.

[Goodpasture]

nope........not sure what it takes, but I think there is a $13 charge to transfer titles from one state to another.

[BigOkie]

Originally Posted by ectanner

Okay, thats clear as mud. I am moving from Kentucky to Oklahoma in a couple weeks. I bought my car in Florida in 2002 and finished paying for it in Kentucky. Are you suggesting I will be paying excise tax on what I payed for my car? That was in 2002. I am confused.

No, you will not pay excise tax on a vehicle that you purchased somewhere else and are transferring here. The title transfer fee is $16 and then you'll pay the registration fee based on the table, which will be no more than $91.

Be thankful you aren't moving here about 6 years ago, when the registration fees felt like excise tax on the depreciating value of your car. We had many people purchasing their vehicles in Oklahoma, but registering them in the border states because our registration fees were astronomical. The state finally got it's act together and went more along the lines of what Texas does basing on age of the vehicle and a flat fee. As an example, I had a 1986 Ford Taurus; in 1994 I paid $160 registration fee on a nine year old vehicle. I did that every year. I think now I'd pay $61 for it, and this is 14 years later!

[ectanner]

Now I understand. Thanks! The upcoming move has made me "foggy" with my thinking. I lived in Indiana in the 80's and they had the excise tax. I remember I bought a new 1983 Olds Toronado and the tax was over $600.00 In the 80's it was outrageous.

[Valeriano Sta Ana]

Who will pay for the car sales tax? the Vendor or the buyer?

[sgrizzle]

The buyer does, just like when you buy anything else.