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duke330ci
01-02-2003, 04:31 PM
OK, I get a letter form BMWNA today, and I'm all excited because it's the first thing I've gotten from them since ordering my 330Ci over Thanksgiving.

Page 1... Congratulations on you recent order and decision to take delivery at the BMW Performance Center in South Carolina. It's a unique experience, etc., etc.

Page 2...The State of South Carolina imposes a use tax of $300 upon the first use of a new vehicle in South Carolina. Since you will be taking delivery of your new vehicle in South Carolina, this tax applies.

This first time use tax will not be collected by your retail center or the BMW Performance Center. Should the State decide to collect the tax from out of state consumers, it would be billed by the State of South Carolina and payable directly to the same.

WHAT THE F_ _ _?!!! :yikes: :yikes: :yikes:

Does anybody know about this tax? Is it likely the State will waive it? This is the first time I've heard of anything like this, and I've read many posts/threads about Performance Delivery.

Also, get this. I got a message from my sales advisor that my bimmer is headed to the port. It'll probably be to the east coast during the first week of Feb and my PC Delivery isn't even scheduled until the 21st of Feb. If I have to pay this tax, I may just scrap the PC delivery and pick it up at the dealership 3 weeks earlier.

Thoughts anyone?

Randy Forbes
01-02-2003, 05:00 PM
I don't remember paying a SC use tax.

That doesn't mean we didn't pay it, but the Performance Delivery is worth enough that you'd forget about it.

We could've got our car (01 M Rdstr) about two or three weeks earlier too, but we had arranged our PCD for the last day they were open prior to Z3 Homecoming 2001.

In the end, it's your choice, but $300.00 wouldn't keep me from doing it all over again.

rwg
01-02-2003, 05:38 PM
I think the devil's in the details. The state has this tax. It applies to your car. Neither BMW nor your dealer will point out to the state that you will be there that day. They have the right to collect it, but will they? If they don't collect it that day, will you have to pay it? I suspect that the tax is for new cars intended for operation in the state or for new cars that are sold to people who come from across the state line (state does not collect sales tax in that instance).

Theoretically, you have to pay sales tax on mail order goods. When's the last time you did? I don't think the gamble of $300 would make me change my mind.

duke330ci
01-02-2003, 05:47 PM
i was kind of thinking that too when I was typing the post. i suspect that BMW is sending me the letter up front in case for some unusual reason, the state taxes me. then bmw can say they warned me.

i was just surprised by the letter and was wondering why nobody else who's done Perf Delivery hasn't mentioned it before.
(grammar's pretty bad there...sorry Mrs. Jones)

anyway, anybody whose done PCD in the last few months please chime in.

thanks!

GimpyMcFarlan
01-02-2003, 06:35 PM
Hmmm.... Interesting...

I've been a part of 3 PC deliveries so far and I have never seen this SC tax billed before, during or after delivery. :dunno:

Chris330Ci
01-03-2003, 05:44 AM
IIRC, this tax is placed on BMW by the state because they are seeking to reap some extra cash from would-be BMW owners. My salesman told me about it and said it is absolute crap and that I need not worry about it. Evidently, something to do with the factory being in SC and the state feeling that they can justifiably tax anyone picking up their car in the state regardless of whether you live there or not. You should be fine, not to worry. :thumbup:

CD-55
01-03-2003, 06:17 AM
Originally posted by rwg
I think the devil's in the details. The state has this tax. It applies to your car. Neither BMW nor your dealer will point out to the state that you will be there that day. They have the right to collect it, but will they? If they don't collect it that day, will you have to pay it? I suspect that the tax is for new cars intended for operation in the state or for new cars that are sold to people who come from across the state line (state does not collect sales tax in that instance).

Theoretically, you have to pay sales tax on mail order goods. When's the last time you did? I don't think the gamble of $300 would make me change my mind.

I was thinking the same thing, but on the other hand I am wondering if this is a tax is targeted specifically for the Performance Center? It does not sound exactly like a sales tax, but more like something to get money from people who first use the car in SC. Normally the state would collect sales taxes by their resident dealers, but this may be a way to collect from the bimmer crowd who takes delivery in SC, but contributes no tax revenue for the dozens of $40K cars that go through the center.

AndyM
01-03-2003, 07:42 AM
I didn't pay the use tax in May when I picked up my car. I don't think I was even aware of it (I didn't get a letter, I would have kept it).


On a side note, I did get a Season's Greeting card from 'The Performance Delivery Team'. I am still amazed at how nice everyone was to us. We broke the rules and 3 of us went down (my dad, my brother and myself). My dad wasn't planning on participating in any events (he tagged along to spend some time with Jon) and the delivery people insisted that he get the full experience.

phrider
01-03-2003, 07:44 AM
Is it an adjoining state thing, NC vs SC?:dunno:

Chris330Ci
01-03-2003, 08:08 AM
Originally posted by phrider
Is it an adjoining state thing, NC vs SC?:dunno:

No

PhilH
01-03-2003, 08:28 AM
Is it a new tax that went into effect in 2003? It could even be a new program to make people aware of a previously existing tax.

Chris330Ci
01-03-2003, 10:21 AM
Originally posted by PhilH
Is it a new tax that went into effect in 2003? It could even be a new program to make people aware of a previously existing tax.

Negative. If you read my original reply and also CD's, that is what this tax is...nothing new, just seldom enforced.

Pinecone
01-03-2003, 10:21 AM
Here's the deal.

SC imposed the tax. BMW by law must inform you of it. So BMW sends out that letter. BMW does not collect the tax.

SC doesn't sit outside the PC trying to collect the tax. Nobody pays the tax. So forget about it.

I have never heard of anyone paying the tax. We sure didn't when we picked up our M3 at the PC.

And no it was not bundled in the price, since you don't pay for your car at the performance center, you pay for it at your dealer two weeks prior to pickup.

At the PC they will tell you that no one pays the tax, but they can't put that in writing.

duke330ci
01-03-2003, 03:24 PM
I talked to someone at the PC in SC. They said that SC has always had the "Use Tax" since BMW started doing deliveries at the PC, but to her knowledge, no new BMW owner has had to pay the tax. She said she sent the letter b/c BMW is obligated to notify people but not to really worry about it.

I was just confused b/c nobody on this board that has done PC deliveries in the past ever mentioned getting a letter like that. I guess my advisor likes to do things 'by the book".

Pinecone
01-03-2003, 04:39 PM
Originally posted by duke330ci
I talked to someone at the PC in SC. They said that SC has always had the "Use Tax" since BMW started doing deliveries at the PC, but to her knowledge, no new BMW owner has had to pay the tax. She said she sent the letter b/c BMW is obligated to notify people but not to really worry about it.

I was just confused b/c nobody on this board that has done PC deliveries in the past ever mentioned getting a letter like that. I guess my advisor likes to do things 'by the book".

Actually we all got the letter, but since nobody paid the tax, it got forgotten.

I would say your advisor is not on the ball. Our avisor told us ahead of time that the letter would come, and to ignore it.

Oh, and the Performance Center sends the letter, not your advisor.

doctorD
01-04-2003, 07:50 PM
We picked ours up at the Performance center on 10/17/02 and we've never gotten a letter from anyone. This thread is the first I've even heard of it. I can't imagine you'll have to pay it.