4 Musts When Selling to Out of State Customers
Maybe it's due to limited inventory in the marketplace or customers doing more online shopping in general.
Maybe it's due to limited inventory in the marketplace or customers doing more online shopping in general. I don't know what the culprit is, but over the last four weeks we have received a number of calls through the compliance consultation service asking the same question.
So, in this week's blog we offer a refresher on 4 dos and don'ts when selling to out of state buyers.
For the most part a dealer should process the sale just like any other retail transaction. However, here a few things you need to keep in mind.
Do: Collect $5 for the Buyers Tag.
Don't: Collect sales tax on the purchase.
Do: Have the customer sign Form 14-312, Texas Motor Vehicle Sales Tax Exemption Certificate- for Vehicles Taken Out of State.
Don't: Forget to give the customer the signed original Form 14-312 with instructions to provide Form 14-312 to their state's vehicle registration division.
Do: Give the vehicle title to the customer (only if it is a cash sale).
Don't: Apply for title or registration on behalf of the customer.
Do: Give the customer a Buyers Tag.
Don't: Forget to make copies of EVERYTHING and keep in the deal jacket