Indiana Ford Dealership Wins Refund of Kentucky Vehicle Use Tax

A Ford dealership in Indiana that sells cars to out-of-state customers is owed a refund of Kentucky motor vehicle use taxes as a credit for taxes it paid to its home state on the same transactions, the Kentucky Court of Appeals ruled Friday.

Carriage Ford Inc. is entitled to a refund of $183,000—the amount of sales taxes it paid to Indiana—plus interest, despite the fact that the car buyers were responsible for the Kentucky use taxes and the company didn’t pay the Indiana sales taxes until after it registered the vehicles in Kentucky, Judge Donna L. Dixon wrote for the ...