Image for Vehicle Use Tax

Vehicle Use Tax

Vehicle Use Tax is a fee that some states charge when you purchase a vehicle outside of the state but bring it to your home state for registration. It is similar to sales tax and is intended to ensure that all vehicles contribute to state funding for roads and services. The tax amount is based on the vehicle’s purchase price, and it must be paid before you can register the vehicle in your state. This tax helps maintain infrastructure and ensure fairness among residents who purchase vehicles both in-state and out-of-state.