Dear Terry,

When you purchase a vehicle from a private owner in Arizona, is there a sales tax collected when you transfer the vehicle at the DMV?

Don

Dear Don,

Arizona, like most states, collects sales tax when you register the vehicle.

And don’t try to understate the actual price paid because most DMVs will check the amount against the Kelley Blue Book value and charge tax against the higher rate if they think there’s something funny going on.

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