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Incorrect tax calculation?

Andystroh

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I am far from an expert when it comes to taxes - but I am in the '8 steps' right now and the tax rate seems crazy high compared to what I am used to paying for cars. I live in an 'unincorporated' region within Jefferson County CO, and while my address typically includes 'Golden, CO', I am not in the city of Golden, and in the past have not paid city of Golden sales tax on vehicles, which puts me at 4.5%. My purchase summary page shows a tax rate of 7.5%, including a city sales tax (of exactly what Golden, CO has).

I wanted to post to:
1. If I am missing something either specific to Rivian or a change that has occurred in the last 12 months
2. Remind others to maybe double check this rate? Perhaps it would be worked out before purchase, but I was about to go through the finance section and would rather not do that with incorrect numbers.
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CommodoreAmiga

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Tax was wrong on my first set of paperwork. My city spans two counties, and they picked the wrong one. Not sure why they aren’t validating addresses…. Anyway, had to redo the paperwork. Contact your guide if you think it’s wrong.
 
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Andystroh

Andystroh

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Tax was wrong on my first set of paperwork. My city spans two counties, and they picked the wrong one. Not sure why they aren’t validating addresses…. Anyway, had to redo the paperwork. Contact your guide if you think it’s wrong.
Thanks, already did. Mostly just wanted to verify it is not a perfect system which it sounds like it is not. Thanks for the reassurance.
 
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Andystroh

Andystroh

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The J-Man

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Worst case, you would be able to recover the City of Golden portion directly from the city, but best to have them correct it before you pay them. I live in Broomfield, and they appear to have gotten my taxes correct.
 

ATL_Canes

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4.5%. I sent the PDF produced from that site to my guide.
I dealt with this on a different vehicle purchase. Generally sales systems use the zip+4 to look up the proper rate, but it’s pulling from a a database so if the database is wrong then the wrong rate flows through. It happens. There’s something like 12,000+ local tax jurisdictions, and the rates constantly change.

The dealer wouldn’t change the rate, even though I sent them all of the support showing the proper rate. So they essentially overpaid the tax when registering it, and I got it refunded.
 

The J-Man

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4.5%. I sent the PDF produced from that site to my guide.
Did you get resolution? I just got my "final numbers" today. The sales tax rate was correct, but they are charging three line items called "state use tax vendor fee." These lines are absolutely 100% incorrect. In fact, they represent such a fundamental misunderstanding of sales tax law that Rivian must have a monkey running this function in their finance department.

Another thing I noticed is that they are attempting to charge me registration fees, which is not how it is done in Colorado. You pay the registration fees when you register the vehicle, not to the dealer. I imagine it will be a slight nightmare recovering that money if you hand it over to them. I emailed my guide for resolution.
 
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Andystroh

Andystroh

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Did you get resolution? I just got my "final numbers" today. The sales tax rate was correct, but they are charging three line items called "state use tax vendor fee." These lines are absolutely 100% incorrect. In fact, they represent such a fundamental misunderstanding of sales tax law that Rivian must have a monkey running this function in their finance department.

Another thing I noticed is that they are attempting to charge me registration fees, which is not how it is done in Colorado. You pay the registration fees when you register the vehicle, not to the dealer. I imagine it will be a slight nightmare recovering that money if you hand it over to them. I emailed my guide for resolution.
They corrected it within a couple hours of notification. Good to know about registration…
 

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Andystroh

Andystroh

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Did your purchase summary show registration fees?
It does. I’ll probably do a little research and then reach out to my guide for the easiest resolution as all the paperwork is complete and delivery is scheduled.
 

jimrichard

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My tax rate was miscalculated in unincorporated Boulder county CO as well but I have had the same issue when buying from a dealer. However I have always paid part of the registration fees with the dealer and the balance when I finish registering at the DMV. My guide said the fee they were charging would cover all the registration costs and I wouldn't have to go down to the motor vehicle department at all but she was not from this area and I didn't get a confident feeling when talking to her. I told her I would like to do it all myself to see if it would be cheaper. She said that they had offered that to earlier customers but may or may not have that option available anymore and will let me know.
 
 




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