Live in Michigan and have found a used car in Indiana that I am interested in purchasing. Which state do I pay sales tax in? On the SOS site it states you don't need a plate on a used car for 3 days as long as you have the title and proof of insurance and are driving within the state. Anyone know if this also applies driving from one state to another? Are there any other issues I need to know about in this purchase situation? Would appreciate any help/info that anyone has on this matter. TIA