I have a question. I am looking into buying an S2000 soon possibly around September when 2003 comes out to get a better deal on 2002. I notice that places such as Chicago sell for below MSRP during the winter months. I will save on the purchase but will have to pay for transportation. How exactly does tax work. Do I pay the tax in Chicago or my home state? Thanks.

 

You pay tax when you register your car in your home state based on the tax rate where you live. Where you buy the car has absolutely no impact on how much tax you pay.

In-state dealers, however, usually are required to collect the tax from you and pay it on your behalf. Out of state dealers don't have this obligation, and MVD will see that no tax has been paid when you apply for title and registration.