Sales tax on used cars - Page 3 - LotusTalk - The Lotus Cars Community
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post #41 of 90 (permalink) Old 07-26-2007, 12:31 PM
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http://www.straightdope.com/classics/a5_127.html

Tell me - does your tinfoil hat stay on with the top down?

ed

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post #42 of 90 (permalink) Old 07-26-2007, 12:54 PM
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Quote:
Originally Posted by EdHahn
http://www.straightdope.com/classics/a5_127.html

Tell me - does your tinfoil hat stay on with the top down?

ed


Way to go, Ed. Since I don't believe that an income tax is a good thing, I'm a conspiracy theorist and you must attack me personally. I suppose you solve a lot of problems in your life that way. Never did I advocate not paying it, I simply don't like it.
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post #43 of 90 (permalink) Old 07-26-2007, 04:31 PM
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Hey man, you're the one who called taxes *in general* unconstitutional, and advocate doing away with it.

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The state has to make money (unconstitutionally) because they overspend and waste on useless crap and programs. Even income tax is unconstitutional. Never understood why people just roll over and accept it.
Nothing to do with conspiracies - but a fringe belief for sure.

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Last edited by EdHahn; 07-26-2007 at 04:38 PM.
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post #44 of 90 (permalink) Old 07-26-2007, 05:34 PM
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I do believe Brennon is right on this one. Although it wouldn't probably hold up in any court because of the standard that is in place. Technically income tax was never properly addressed in the constitution as being a right of the government to be taxed at will and in any manner desired.
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post #45 of 90 (permalink) Old 08-22-2007, 07:36 PM
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The whole idea of paying tax on a USED car doesn't make sense. The govt already got their money off the car when it was sold as new. They should be able to collect every time the car is sold subsequently.
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post #46 of 90 (permalink) Old 08-22-2007, 08:23 PM
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used car tax

If you don't change the ownership,you NEVER pay the tax-but then you won't be able to drive it(dealer plates excepted)and never legally own the car.
Hey,look at the bright side-you won't pay luxury tax on a used car.
Really now,pretty soon the government wil be taxing stuff like booze and income." That's Democracy for ya"(Quote attributed to Montgomery Burns)
Kenny Mance owns the Monterey garage,82 st,I think. He has 3 Elan Sprints and one+2.
Better check first. From what I understand,not many people will want to park an Elise in NYC.
Good hunting.
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post #47 of 90 (permalink) Old 08-23-2007, 05:43 AM
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I never understood the idea of undervaluing the car on the tax form. How much are you really going to understate the value? How much tax does that save? Is it worth a felony?

Walk into a NY DMV with an exotic brand name and they're likely to question even the correct value. Bring your bill of sale.

I bought a $5k Jeep. Seller offered to put a lower value on the bill of sale. I'm supposed to put $3k to save ($2k x 6&#37 $120 and commit tax fraud?

I'll save my tax fraud for much larger amounts in April...
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post #48 of 90 (permalink) Old 08-23-2007, 05:44 AM
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Originally Posted by EdHahn View Post
but a fringe belief for sure.

ed
I don't think it's a fringe belief that the State overspends and wastes money.
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post #49 of 90 (permalink) Old 08-23-2007, 06:30 AM
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Quote:
Originally Posted by FlyLo View Post
I never understood the idea of undervaluing the car on the tax form. How much are you really going to understate the value? How much tax does that save? Is it worth a felony?

Walk into a NY DMV with an exotic brand name and they're likely to question even the correct value. Bring your bill of sale.

I bought a $5k Jeep. Seller offered to put a lower value on the bill of sale. I'm supposed to put $3k to save ($2k x 6%) $120 and commit tax fraud?

I'll save my tax fraud for much larger amounts in April...
Couldn't agree more!



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I don't think it's a fringe belief that the State overspends and wastes money.
Couldn't agree more!
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post #50 of 90 (permalink) Old 06-23-2010, 04:51 PM
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Quote:
Originally Posted by FlyLo View Post
I never understood the idea of undervaluing the car on the tax form. How much are you really going to understate the value? How much tax does that save? Is it worth a felony?

Walk into a NY DMV with an exotic brand name and they're likely to question even the correct value. Bring your bill of sale.

I bought a $5k Jeep. Seller offered to put a lower value on the bill of sale. I'm supposed to put $3k to save ($2k x 6%) $120 and commit tax fraud?

I'll save my tax fraud for much larger amounts in April...
Agreed... but on a $20K purchase of a used Esprit for example, you're talking $1600 hundred dollars flushed down the toilet. Burns me up even thinking about it. Thats money for parts and service or new wheels!
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post #51 of 90 (permalink) Old 06-23-2010, 04:56 PM
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Quote:
Originally Posted by Rob T View Post
The whole idea of paying tax on a USED car doesn't make sense. The govt already got their money off the car when it was sold as new. They should be able to collect every time the car is sold subsequently.
Ask those who live in Virginia about what I believe is called the "personal property tax." You pay tax every year on your PP like autos!
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post #52 of 90 (permalink) Old 06-23-2010, 06:34 PM
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Quote:
Originally Posted by Rob T View Post
The whole idea of paying tax on a USED car doesn't make sense. The govt already got their money off the car when it was sold as new. They should be able to collect every time the car is sold subsequently.
That should read: They should NOT be able to collect every time the car is sold subsequently.

For some reason I can't edit that post (too old)?
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post #53 of 90 (permalink) Old 06-23-2010, 08:10 PM
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I just bought my Elise last month for "$6k". Hey, salvage titles are good for something.
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post #54 of 90 (permalink) Old 06-24-2010, 12:31 PM
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Originally Posted by andykeck View Post
Can't be many places left where that trick works. They closed that loophole here in Washington a few years ago.
What did they do to close the loophole? I've done that on every car I ever bought when I lived in WA.

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post #55 of 90 (permalink) Old 07-30-2010, 02:10 PM
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What did they do to close the loophole? I've done that on every car I ever bought when I lived in WA.
I don't know about WA, but in TX, the buyer of a used car in a non-dealer transaction pays tax on the higher of either the purchase price of the car or the value of the car as determined by the State of Texas. They call that value the 'standard presumptive value'.

Standard Presumptive Value
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post #56 of 90 (permalink) Old 07-30-2010, 04:35 PM
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I'm about to title my new Elise when she gets here so I was just looking at taxes. The standard presumptive value on my Elise was $0. Glad to know I'm driving a wortshless car in the eyes of the government And dang did I get ripped off!

Just make sure you call your DMV first, especially if you're getting a car from out of state without plates. You'll need to get a temp tag from your tax appraisal office before taking the car to get inspected to get it registered, the police really doesn't like cars on the road without any sort of plate. If it is in state, at least in Texas, you can do the forms online. The lady at the tax appraisal office is going to hate me with my Mass-a-chew-sits car.

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post #57 of 90 (permalink) Old 07-30-2010, 04:50 PM
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Exclamation

BTW - don't try this, it'll get you into trouble:

Tax evasion.

When you sell a car / buy a car sell it for "on paper" for "$100.00 bucks"

Thus when the person who bought the car goes to the DMV to title it,
they pay taxes on.. well...only a $100.00 bucks.

But know this, most US states have the police officer come outside
the DMV and check the VIN when the car is titled in a new state,
thus most folks get caught, because:

.. when they buy a car from another state, police check:

a) VIN is correct and not tampered with

b) that the car is really only worth $100.00

Thus some folks don't want to buy from another state for the above reason.

Crime don't pay folks.

Peace!

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post #58 of 90 (permalink) Old 07-30-2010, 04:52 PM
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Quote:
Originally Posted by Uncle Sam View Post
Ask those who live in Virginia about what I believe is called the "personal property tax." You pay tax every year on your PP like autos!
I moved from NE to VA in 2007, yeah that was a big wake-up call.

Either A. They slam ya for taxes at the time of sale or...
B. like VA. they tax ya non-stop

Peace!

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post #59 of 90 (permalink) Old 07-30-2010, 07:03 PM
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Quote:
Originally Posted by SGT_Okinawa View Post
Thus when the person who bought the car goes to the DMV to title it,
they pay taxes on.. well...only a $100.00 bucks.
As stated above, many states now tax you on the book value of your car regardless of your purchase price. You could buy it for $1, but you are automatically taxed for $35,000 or whatever the book value is.
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post #60 of 90 (permalink) Old 07-30-2010, 07:20 PM
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Originally Posted by loki007 View Post
I'm about to title my new Elise when she gets here so I was just looking at taxes.
Some of the fancier cars aren't in that Texas value database. You're not the first Texas-resident to buy a used Lotus, so I'm hoping someone else will chime in to tell us exactly how the county tax office established a value for their cars.

If you bought it from a licensed car dealer instead of a private individual, it won't matter, as you then just pay the 6.25% on the actual purchase price. No hocus pocus involved.
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