I was charged sales tax from a new car dealer on a $300 lease turn in fee and no other purchase. Is this legal

Question

The car dealer resides in Michigan as do I.

Answer 1

Its a use tax on the lease. Yes its legal.

Answer 2

to collect revenues tax a company must have a allow to finish that. First you're assuming that the corporate does no longer have revenues tax nexus on your state, regardless of the indisputable fact that that's irrelevant on your question because the corporate is appearing as an agent on behalf of your state by employing accumulating revenues tax which is often voluntary (extremely person-pleasant contained in the streamlined contract states) Presuming that the product qualifies as taxable resources, the load is on you, the customer to tutor to the agency that you're exempt from tax by employing providing valid exemption/resale documentation on your state. regardless of if the corporate did not cost you tax and also you're the accurate client of a taxable purchase, you would possibly want to pay use tax on your state. Disclaimer: The above tips isn't meant as tax advice and could no longer be used for any objective.