In most states, no — you'll pay the same sales tax you would have on a private party sale. A few states tax dealer sales differently than private party sales, and we'll warn you in checkout if it would affect you.
In most states, nothing changes
You only pay sales tax to the state where you register the vehicle. Although KeySavvy is a licensed dealer in Minnesota, we don't collect MN tax for buyers registering elsewhere. Most states treat private party and dealer sales the same way for sales tax purposes, so your tax bill at the DMV is no different than if you'd handed cash to a private seller.
States where buying through a dealer can mean more tax
A few states exempt or reduce sales tax on private party vehicle sales but still tax dealer sales:
Arizona and Nevada exempt all private party sales from sales tax.
Mississippi exempts private party sales for vehicles more than ten years old.
Illinois charges a lower tax on private party sales than on dealer sales.
If you plan to register in one of these states, we'll warn you about the additional sales tax before you submit payment.
What about states with no sales tax at all?
Buyers registering in Alaska, Delaware, Montana, New Hampshire, or Oregon pay no state sales tax regardless of how they buy. Using KeySavvy doesn't change that.
I'm buying through a Montana LLC. Will you collect sales tax?
No. Sales tax is owed to the state where the vehicle is registered, not the state KeySavvy operates in. If you register the vehicle in Montana, you'll pay whatever Montana requires (currently no sales tax). KeySavvy does not add tax of our own.
I'm buying out of state. Where do I pay tax?
Where you register the vehicle, not where the seller is located. If you live in Washington and buy a car from a seller in Oregon, you'll pay Washington tax when you register the vehicle. The seller's state isn't involved.
Related article: How do sales tax and registration fees work?