DO YOU HAVE TO TAX A VEHICLE SOLD FOR EX…
11:44 am in status by James Mitchell
DO YOU HAVE TO TAX A VEHICLE SOLD FOR EXPORT?
There have been a lot of questions lately regarding the sale of a motor vehicle to a customer who resides outside of the United States. After receiving many different answers, even from the Department of Revenue, I have received written clarification as to how a dealer can sell a motor vehicle to a customer who resides outside of the United States. Please review the following information which was received from Mr. Keith Wilson of the Ohio Department of Revenue.
If the dealer arranges and pays for the shipping of the vehicle out of Ohio, it is considered interstate commerce and exempt from Ohio sales tax. See tax commissioner’s rule #5703-9-39 at this link:
http://www.tax.ohio.gov/divisions/legal/rules/final/5703_09/5703_9_39.stm
If the customer takes possession of the vehicle or arranges the shipping (the shipping company becomes an agent of the buyer at this point), the buyer is considered to have taken possession in Ohio and Ohio sales tax would be due at the county of the dealer location.

