If you are about to buy a car in Maryland, it would be good for you to know about Maryland car tax. How much you pay in taxes when you buy a new car partially depends on where you buy it. The amount you pay for tax will depend on whether you are buying the car new or used.
Step 1- Know the Specific Maryland Car Taxes
The specific tax laws in Maryland you should pay attention to are the Sales tax, which is 6%; the Title tax, which is $50; the Plate Transfer tax, which is $10; and the Registration tax, which can range from $128 to $180. Other than those specific laws, the process of calculating Maryland state auto sales tax is the same as it is everywhere else.
Step 2- Find the Value of the Car
The fastest way to calculate how much you will have to pay for auto sales tax in Maryland is with a Maryland car tax calculator. Though, in order to use that, you must first know how much the car you are going to buy is worth. Do this by quickly researching the model you are looking at with Google.
Step 3- Deductions
Some deductions apply to car sales tax in Maryland, and you should see if you can apply for any of them before you pay taxes on the vehicle. If you are selling to a family member, the transaction can be written off as a gift, which is exempt from the 6% sales tax. You can also be eligible for car tax deductions if you give to charity.