Buying A Used Car In Arizona Sales Tax -

The entity you purchase from determines whether you pay tax at the time of sale.

: If purchasing from a dealer, you only pay sales tax on the net price (purchase price minus trade-in value). For example, trading in a $20,000 car for a $40,000 purchase means you only pay tax on the remaining $20,000. buying a used car in arizona sales tax

In Arizona , buying a used car from a is generally exempt from sales tax . These are classified as "casual sales" and do not incur the state's Transaction Privilege Tax (TPT). However, if you buy from a dealership , you will likely pay a combined tax rate of approximately 8.1% to 9.1% , depending on the city and county. 1. Private Party vs. Dealership Sales The entity you purchase from determines whether you

: Casual sales from out-of-state private parties are also generally exempt from Arizona use tax. Arizona Used Car Sales Tax: What You Need to Know In Arizona , buying a used car from