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Question on private car taxes

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Old 06-12-2007, 11:17 AM
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Default Question on private car taxes

I am getting mixed responses on buying a car from a private owner. Do I have to pay taxes on the vehicle when I buy a car from a private owner??? Some people say yes some people say no.
Old 06-12-2007, 11:18 AM
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You pay taxes to the DMV when you register it, if any. Not to the private owner, if that'* what you mean. ?
Old 06-12-2007, 11:18 AM
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Yes. Any car you buy is taxable. I know I had to pay taxes on all my cars. Usually the seller will put the purchase price on the title, and they tax on the purchase price, and you pay it to the BMV/DMV/License Bureau/Title Office.
Old 06-12-2007, 11:21 AM
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Pretty straight forward....

You pay taxes on the documented sale price, as written on the title. I bolded that for a reason.

If you're related to the buyer, then you don't pay sales tax. If you say you're related to the buyer, but aren't, the state will penalize you by charging interest on the sales tax, and will require you to pay the sales tax. The DMV verifies each transaction in which someone declares being related.

All taxes are paid to the DMV, just as Pete said.
Old 06-12-2007, 11:21 AM
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Originally Posted by bonnie94ssei
You pay taxes to the DMV when you register it, if any. Not to the private owner, if that'* what you mean. ?
Correct. That'* why I have heard that some people ask the seller to write in a selling price on the transfer title of, say, $5,000 even if the car actually sold for $15,000...not that I would in any way advocate such a thing...
Old 06-12-2007, 11:22 AM
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Are you 100% positive that you pay taxes on it? Because some people are telling me no.
Old 06-12-2007, 11:23 AM
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In CT..if the car is less than 7 years old.. you pay taxes on blue book.

Welcome to Ct... bend over.
Old 06-12-2007, 11:24 AM
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Okay thanks guys I appreciate it.
Old 06-12-2007, 11:29 AM
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People are pretty stupid, I have seen some adds say NO SALES TAX. Thats probly because they are willing to lie on the registation, Or they probly think that sales tax doesnt apply to private buyers or they are trying to screw a buyer that doesn't know about car taxes.


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