Sales Tax?? Out of State Purchase.

[JJZ 109]

Whenever I've sold my privately owned used vehicles, I printed the state sales tax form from DMV's website. I handed them to the buyer and told them to complete it as they see fit, and they were responsible to deal with any repercussions if they under reported. Not my job to collect sales tax for the state or to tell another person what to do when they leave my property with a vehicle.
I have yet to sell a vehicle for more than I paid for it, so there are no income tax implications on my end.

 

[KennyG]

There WAS a time in the past when showing a much smaller selling price than the actual one, or even showing a sale as a gift, to avoid the sales tax was common, but I don't know anyone who would risk it now.

This past year, my wife's youngest brother died with no will and almost no assets, but he did have an old Ford Taurus that ran pretty well. None of the rest of the family wanted it, so they all signed affidavits so our grandson could transfer title to himself and take the car. So he paid nothing for the car but had to pay sales tax on the book value, as you mentioned above. I think it was $700 that he had to pay that 6.25% sales tax on.

Some states have exemptions for transfer between family members. How closely related they need to be probably varies by state.

 

[silvertramp]

Some states have exemptions for transfer between family members. How closely related they need to be probably varies by state.

MA does that. My mother recently transfered her car to to me for $1. The low ball bill of sale trick doesn't work here anymore.

 

[Bill Hoffman]

I don't know why you folks are complaining. In CT we pay 6+% sales tax to the
state and then personal property tax each year to the town in which we live for
the honor of owning our tractors, cars, mowers, boats, tools, etc. CT needs your
money for stupidly high governmental salaries and social programs, but our roads
are terrible and our schools are underfunded.

 

[Buggs67]

I don't know why you folks are complaining. In CT we pay 6+% sales tax to the
state and then personal property tax each year to the town in which we live for
the honor of owning our tractors, cars, mowers, boats, tools, etc. CT needs your
money for stupidly high governmental salaries and social programs, but our roads
are terrible and our schools are underfunded.

But at least you get to live in CT :laughing:. My sister lives there. Glad I never moved up, but NJ is about as bad.

 

[HillStreet]

I don't know why you folks are complaining. In CT we pay 6+% sales tax to the
state and then personal property tax each year to the town in which we live for
the honor of owning our tractors, cars, mowers, boats, tools, etc. CT needs your
money for stupidly high governmental salaries and social programs, but our roads
are terrible and our schools are underfunded.

I moved out of CT in 2004 after 50+ years there, Brooklyn and Danielson area. Much better up here in Maine, small town living. There are plenty of giveaways here too but the governor tries to dissuade that. Some 6000 muslims in Portland area that get bennies right off the bus---that has to stop.

 

[HillStreet]

I don't know why you folks are complaining. In CT we pay 6+% sales tax to the
state and then personal property tax each year to the town in which we live for
the honor of owning our tractors, cars, mowers, boats, tools, etc. CT needs your
money for stupidly high governmental salaries and social programs, but our roads
are terrible and our schools are underfunded.

I moved out of CT in 2004 after 50+ years there, Brooklyn and Danielson area. Much better up here in Maine, small town living. There are plenty of giveaways here too but the governor tries to dissuade that. Some 6000 muslims in Portland area that get bennies right off the bus---that has to stop.

 

[Patrickdozer]

And just think you get to pay the state too when you earn the money before you even spend it.

The best experience I've had was with the free coffee. Around the holidays certain chain convenience stores will give out free coffee. At one particular store I with coffee in hand went to register and said I am getting my free coffee you offer, sales clerk replied yes we offer free coffee but you still need to pay sales tax. Puzzled I asked "I thought I was getting a free coffee" You are was the reply but you need to pay the sales tax. You are joking I asked. No I need to collect sales tax was the reply.
So I asked how is this free if I am paying tax on this. The reply was the state still wants its money on value of product. I paid the few cents for a coffee figuring it was better than full price, but it pissed me off thinking I have spent nothing, somebody is giving me something free and I am still paying tax for that. So it isn't actually free and makes no sense half of nothing is nothing and 6% percent of 0, is still 0 unless there was a law to change mathematics. No sale=No sales tax! I suppose its that estimated value where they get ya. Go figure

 

[Patrickdozer]

And just think you get to pay the state too when you earn the money before you even spend it.

The best experience I've had was with the free coffee. Around the holidays certain chain convenience stores will give out free coffee. At one particular store I with coffee in hand went to register and said I am getting my free coffee you offer, sales clerk replied yes we offer free coffee but you still need to pay sales tax. Puzzled I asked "I thought I was getting a free coffee" You are was the reply but you need to pay the sales tax. You are joking I asked. No I need to collect sales tax was the reply.
So I asked how is this free if I am paying tax on this. The reply was the state still wants its money on value of product. I paid the few cents for a coffee figuring it was better than full price, but it pissed me off thinking I have spent nothing, somebody is giving me something free and I am still paying tax for that. So it isn't actually free and makes no sense half of nothing is nothing and 6% percent of 0, is still 0 unless there was a law to change mathematics. No sale=No sales tax! I suppose its that estimated value where they get ya. Go figure

 

[Looking4new]

A few years ago the Goobermint sent me a letter stating that 'their' records showed that I didn't pay the sales tax on a boat I bought and that I owed them $1300.oo plus penalties.
I keep ALL big ticket item receipts and I photocopied the bill of sale (it wasn't a very good copy) from the dealer showing that I did indeed pay the tax and sent that to them. I stated in my covering letter that there was no way in h3ll they were getting the original. I have not heard from them since.

On my tractor I paid $3510.oo sales tax at the dealers and my down payment covered it.