Need advice on seling a car
02-18-18, 01:20 PM
#1
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Need advice on seling a car
Hello all ,
I figure I should ask this questions here , since I have been getting great advice on my Lexus .
Here is my situation: I am trying to sell a car in California , and this potential buyer is asking me to lower the sale value in bill of sale and title to meet my higher asking price . I assumed he is trying to save money on the tax .
1. Is this okay ? Or am I setting up myself to a lawsuit ?
2. How about if the bill of sale is equal to the real sale price and the title is lower than the asking price ?
Thanks
I figure I should ask this questions here , since I have been getting great advice on my Lexus .
Here is my situation: I am trying to sell a car in California , and this potential buyer is asking me to lower the sale value in bill of sale and title to meet my higher asking price . I assumed he is trying to save money on the tax .
1. Is this okay ? Or am I setting up myself to a lawsuit ?
2. How about if the bill of sale is equal to the real sale price and the title is lower than the asking price ?
Thanks
02-18-18, 01:55 PM
#2
Moderator
Does it say this on the Bill of Sale form: I certify (or declare) under penalty of perjury under the laws of the State of California that the foregoing is true and correct. If so, then you decide how you want to handle it. https://www.dmv.ca.gov/portal/wcm/co...df?MOD=AJPERES. Oh look, it does say that.
But to complete your sale you need to read AND understand this: https://www.dmv.ca.gov/portal/dmv/?1dmy&urile=wcm
ath:/dmv_content_en/dmv/pubs/brochures/howto/htvr32
This statement appears in the link above: Does DMV also need a separate bill of sale if the Certificate of Title was used to release ownership?
A separate bill of sale is not required; however, both the seller and buyer may want to complete a bill of sale and each keep a copy for their own records.
But to complete your sale you need to read AND understand this: https://www.dmv.ca.gov/portal/dmv/?1dmy&urile=wcm
ath:/dmv_content_en/dmv/pubs/brochures/howto/htvr32This statement appears in the link above: Does DMV also need a separate bill of sale if the Certificate of Title was used to release ownership?
A separate bill of sale is not required; however, both the seller and buyer may want to complete a bill of sale and each keep a copy for their own records.
Last edited by VVTiBob; 02-18-18 at 02:30 PM.
02-18-18, 08:09 PM
#5
If you lived in Kalifornia for 65 years like me you might not be in a terrible hurry to pay retail for the dmv tags as it’s a tax.
you might beg tempted to pay green cash for your last three cars and slightly overpay for new / used cars then save money on the plate fees versus watch your state waste your money on dubious uses.
if you keep cars like I do the savings are substantial.
20 years on our 98 accord. Bought new. Still drive it daily
17 years on our 2000 superduty 4x4 bought with 2,790 miles. 125,000 now
10 years on our solara convertible rv tow car. 5k miles. 149,000 now
6 years so far on a 21 year old giant rv. 100k miles then 133,000 now
1 1/2 years so far on our sc430 that is a keeper also.
between them maybe saved $10k?
Our State raised gas taxes and plate fees this last year and gave $26 BILLION to foreign invaders(illegals) last year.
We live in a sanctuary state and city and I resent paying for it. So I don’t very much.
own our own biz for 21 years. Pay extra to the feds. Nothing to ca in 20 years.
you might beg tempted to pay green cash for your last three cars and slightly overpay for new / used cars then save money on the plate fees versus watch your state waste your money on dubious uses.
if you keep cars like I do the savings are substantial.
20 years on our 98 accord. Bought new. Still drive it daily
17 years on our 2000 superduty 4x4 bought with 2,790 miles. 125,000 now
10 years on our solara convertible rv tow car. 5k miles. 149,000 now
6 years so far on a 21 year old giant rv. 100k miles then 133,000 now
1 1/2 years so far on our sc430 that is a keeper also.
between them maybe saved $10k?
Our State raised gas taxes and plate fees this last year and gave $26 BILLION to foreign invaders(illegals) last year.
We live in a sanctuary state and city and I resent paying for it. So I don’t very much.
own our own biz for 21 years. Pay extra to the feds. Nothing to ca in 20 years.
02-18-18, 08:10 PM
#6
Moderator
Absolutely not OK. You are responsible for providing an accurate and correct bill of sale and title to the buyer when you sell the car. Doing otherwise is both fraudulent and unethical - plain and simple.
The following users liked this post:
JohnnyCake (02-19-18)
02-19-18, 10:56 AM
#7
DCMod,
You are in a public forum here - best advice you can expect is to do what you are comfortable with.
CA's tax rate for used cars sales is the same sales tax rate as new vehicles - 7.75%. Doing the math, this makes the difference between a $10k & $20k purchase roughly an additional $775. This is not the only tax paid upon purchase, but it is the main one that is determined by the listed sales price of the vehicle.
There are lots of opinions on this. Vehicles are something that CA double/triple/infinitely dips on for taxes - as FlashBob alludes to, CA would love nothing more than to have us buy and sell vehicles every year, as they collect sales tax each and every time - it's quite lucrative for the state. Most other private party sales of items or goods are not like this, especially if those goods are used.
A side note on CA's vehicle tax laws - I found this really informative re: why so many high end vehicles at CA auctions & shows have Montana and other out-of-state plates. https://www.autotrader.com/car-news/...-plates-256721
You are in a public forum here - best advice you can expect is to do what you are comfortable with.
CA's tax rate for used cars sales is the same sales tax rate as new vehicles - 7.75%. Doing the math, this makes the difference between a $10k & $20k purchase roughly an additional $775. This is not the only tax paid upon purchase, but it is the main one that is determined by the listed sales price of the vehicle.
There are lots of opinions on this. Vehicles are something that CA double/triple/infinitely dips on for taxes - as FlashBob alludes to, CA would love nothing more than to have us buy and sell vehicles every year, as they collect sales tax each and every time - it's quite lucrative for the state. Most other private party sales of items or goods are not like this, especially if those goods are used.
A side note on CA's vehicle tax laws - I found this really informative re: why so many high end vehicles at CA auctions & shows have Montana and other out-of-state plates. https://www.autotrader.com/car-news/...-plates-256721
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02-19-18, 07:07 PM
#8
This is starting to steer away from an SC430 topic, but here in Virginia we pay a tax on our cars .... EVERY SINGLE YEAR!! When my SC was new, I was paying upwards of $5,000 every single year in car tax.
The payment of that tax results in a decal on the front windshield so that every cop can see whether or not you paid the tax and if not, ticket the heck out of you until you do.
Like Caflashbob, we resented paying it. But rather than just illegally not paying it, we organized and got politicians in office who agreed that this tax was unfair. While it was not completely eliminated, it is a fraction of what it used to be.
We are all in this together, people. Fraudulently underpaying the tax imposed is unethical. If you don't like it, do something about it. If you are not part of the solution, you are part of the problem.
The payment of that tax results in a decal on the front windshield so that every cop can see whether or not you paid the tax and if not, ticket the heck out of you until you do.
Like Caflashbob, we resented paying it. But rather than just illegally not paying it, we organized and got politicians in office who agreed that this tax was unfair. While it was not completely eliminated, it is a fraction of what it used to be.
We are all in this together, people. Fraudulently underpaying the tax imposed is unethical. If you don't like it, do something about it. If you are not part of the solution, you are part of the problem.
The following 2 users liked this post by JohnnyCake:
Jabberwock (02-19-18),
VVTiBob (02-19-18)
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