Sales Tax Changes for Stark, Lake, and Marion Counties Now Effective
Effective April 1, 2012, the Marion County sales and use tax rate decreased from 7.00% to 6.50%, the Lake County sales and use tax increased from 6.25% to 6.75%, and the Stark County sales and use tax increased from 5.75% to 6.25%. The following Q&A’s will assist in applying the new sales tax rate:
Q: When does the customer pay the new tax rate?
A: The new tax rates went into effect on April 1, 2012. If a customer purchased a vehicle on or before March 31, 2012, and either took delivery on or before that date or paid for the vehicle in full, he or she should have been charged the old tax rate.
Q: What if the customer finances the vehicle?
A: If the finance paperwork and contract is consummated and executed after April 1, 2012, the customer may be charged the new tax rate.
Q: If a customer purchased a vehicle and paid in full on March 31, 2012, but did not take delivery, do they pay the increased tax amount?
A: No. However, if they ordered before March 31, 2012 but did not take delivery and/or pay for the vehicle until after March 31, 2012, such as the case in a finance deal, they will pay the new tax rate.
Q: If a customer ordered a vehicle on or before March 31, 2012, do they pay the old rate?
A: Only if the individual paid for the vehicle in full on or before March 31, 2012.
Please remember, the above referenced sales tax changes only apply to Stark, Lake and Marion counties. For a state map displaying county by county sales tax rates, please click HERE.
If you have any questions please contact Ellen Mastrangelo or Nick Hanna at (440) 746-1500 or by email at ellen@gcada.org or nhanna@gcada.org. This memo and its contents should not be construed as tax and/or legal advice.
