Question About Sales/Use Tax for Car Purchase in Another State

[haoping7]

Hi, I purchased a car and registered it at my family's address in Indiana, where I paid a 7% tax there (just more stable). Since I live in Michigan (full resident) with a 6% tax rate, do I need to pay another use tax or sales tax again in Michigan? 

Related to this question on tax filing: For many out-of-state purchases, if sales tax has not been collected, Michigan wants to collect the use tax due. Please make the entries here that are necessary to calculate the use tax or enter the total use tax due on the next screen.)

Thank you!

[AmyC]

1. No, IN charged more than MI would so the other state credit is complete.

2.  Most places do collect sales tax. Only those items taxed less than 6% would apply. Here are the rules so you can determine which purchases qualify.

Use tax of 6% must be paid to the State of Michigan on the total price of all taxable items brought into Michigan or purchases through the internet, by mail or by phone from out-of-state retailers that do not collect and remit sales or use tax from their customers. Credit is given for tax paid to another state.

Sales and Use Tax Information - State of Michigan