FAQs - Sales & Use Tax: Motor Vehicles & Watercraft

Are out-of-state leasing dealers/companies required to be registered for collection of sales or use tax?

Yes. Out-of-state leasing dealers/companies are required to be registered with the Department of Taxation, but they may not be required to have a leasing dealer’s permit (LD#) from the Bureau of Motor Vehicles. To title these vehicles in the leasing dealer’s name, use the ATPS exemption code: “RO: Resale – out-of-state leasing.” ATPS will require a valid Ohio use tax account number (99-XXXXXX) before it will proceed with issuing a title without collecting use tax.

Note: This could apply to watercraft and outboard motors.

If the out-of-state leasing dealer has a leasing dealer’s permit issued by the Bureau of Motor Vehicles, you would use the exemption code “RL: Resale – leasing” and you would use the leasing dealer’s permit number and the Ohio use tax account number (99-XXXXXX).

For information on obtaining an out-of-state seller’s vendor license, please visit our Web site at License and Filing Requirements.