"Car buyers from out of state flocked to dealerships during the COVID-19 pandemic, driving a surge in cross-border sales. While the boom in business brought welcome revenue to dealerships, it also created a tangled web of tax laws and document fees that vary wildly from state to state. As a result, dealerships are struggling to navigate the complex regulatory landscape, with compliance challenges threatening to slow the momentum of this lucrative market. With tax rates and fees differing significantly from state to state, dealerships must now contend with a multitude of bureaucratic hurdles, raising questions about the long-term sustainability of this trend."
Out-of-state car sales increased during COVID-19, but with that growth, dealerships face complex compliance challenges with tax laws and document fees that vary by state.
