MP4.2+6.0
11-11-2006, 09:59 AM
When I bought in 1985 on European delivery, the discount was 11%, but you had to pay the 2.8% duty on the depreciated value of the car.
The biggest savings though was really the sales tax. Back then in California if the car was out of the US for 90 days or more from the delivery date in Europe, there was no sales tax. Since it is on the ship for 45 days or so, it wasn't too hard to get to 90 days. I understood some people paid dealers near the drop off points just to hold the car long enough to get over 90 days. It may be if it just sat at the port outside of customs it would still work. In my case, it was used in Europe long enough by relatives who then dropped it off that it worked out, and no sales tax was owing.
I believe though CA now has a one year from first use rule instead of just a ninety day rule for sales tax. Other states may vary though.
Definitely worth looking into, particularly since now the savings are only 5%. Sales tax makes a bigger swing than that normally.
The biggest savings though was really the sales tax. Back then in California if the car was out of the US for 90 days or more from the delivery date in Europe, there was no sales tax. Since it is on the ship for 45 days or so, it wasn't too hard to get to 90 days. I understood some people paid dealers near the drop off points just to hold the car long enough to get over 90 days. It may be if it just sat at the port outside of customs it would still work. In my case, it was used in Europe long enough by relatives who then dropped it off that it worked out, and no sales tax was owing.
I believe though CA now has a one year from first use rule instead of just a ninety day rule for sales tax. Other states may vary though.
Definitely worth looking into, particularly since now the savings are only 5%. Sales tax makes a bigger swing than that normally.