Leasing an Audi from VA, living in NY. The VA dealer is stumped on Taxes!

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I live in NYC, the Audi I want to lease is at a dealer 4 hours south in Virgina. The VA dealer is stumped on calculating taxes between VA/NY to finalize the lease.

Some information I’ve come across states;

  1. NY reading NYS tax forms is that there is no “credit” arrangement per the NY DMV between NY and VA where taxes paid in VA receive a credit towards taxes due in NY, and
  2. NYS taxes are paid on the sum of the lease, and everything else.
  3. There is a VA purchasing exemption form for out of state but it doesn’t spell out leasing explicitly.
  4. The calculator states that NY tax is levied on the total lease payment, but what would be owed to VA if anything, and how are NY taxes collected and paid in this scenario?

I’m going to call the VA and NY DMV on Monday, but has anyone been through this scenario? I didn’t see a similar topic.

cc: @ap919

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Tell them to use a DMV service. They’ll walk them through everything. Nominal fee


Sorry, I can’t respond via my other account because I have an active broker account.

It’s pretty simple. They don’t have to worry about any kind of tax credit. The lease is taxed where it’s registered. Their software should be able to calculate the NY tax without any problem. Nothing is owed to Virginia. If the dealership can’t figure this out, I would go to another dealership. I would say that the majority of my clients are in NY and NJ, and this isn’t an issue.

This has nothing to do with the DMV. It’s sales tax. You would show proof to the DMV that sales tax has been paid, but that’s about it. An out of state dealership should be able to register the car for you as well.


These guys are idiots. Save yourself the headache


You can use it to your advantage.

Thanks for the quick reply. I wish I could go to a NY dealership, but this Virgina dealer has the car with the options I’m after. I’m certainly willing to go elsewhere and forgo a desired option if they are unable to get it together early next week. Just knowing that this is something they should be able to do without issue helps.

It does seem like something a dealer would be equipped to address given the line of work they are in but, apparently not.

Even if they don’t calculate the tax correctly, you’ll get a refund if they overcharge you.

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Tell em to use something like EZ-drive or beacon auto tags in order to do it all

Thanks for the reply @Mort , I wasn’t aware of DMV services, I see a few like 85quick with a quick search. I will research a few and pass this along to the VA dealer.

Thanks for the info @Harry657ha I’m looking into EZ-drive now.

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As @DMVLease said, they should be able to figure taxes out through their own system. Otherwise, it will cost you extra $300 or more if they use a runner for you.

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300 extra for this service?

He’ll probably get nothing back if the taxes are sent to VA and he gets taxed a second time in NY.

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Dunno, I got a check back in the same situation.

You’re not in the same situation, you live in VA.

It’s clearly not the situation of a second state (the registrant’s state) demanding its taxes because it received nothing.

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Yes, it was the same when I did not live in VA lol
NY sent overpayment back to the dealer (or directly to me, don’t remember) and I got the check in the mail couple of months later.

The scenario I described is not an overpayment to NY.

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Correct, it’s payment to the wrong state. If the dealership can’t figure this out, it’s not worth the headache. Any dealership software should be able to calculate tax based on a zip code though.


You confuse me. I said he will get a refund if the dealer overcharges for taxes and that I was in the same situation - bought in VA and registered in NY when the dealer messed up taxes. I got a refund. You replied to my post that it was not the same since I’m in VA. No idea what you are saying.
You explore some possible scenario, I shared my experience in the same situation