Best way to avoid paying tax for car in CA? (vehicle, buy)
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k ive never bought a car in CA but i might be getting a new used RSX-S
i heard in CA u have to pay tax, and to avoid that, u can ask the seller to give it to u as a gift but still paying him.
Does this work or what?
Please let me know
thanks
Not after you just posted it online for Big Brother to see lol. Many people do that, and I don't look down on them for doing so, because it's bs to pay taxes on a material good more than once, when we already pay separate titling and registration fees. The problem is that I believe it is a felony, and you can get a lot of jail time for it, the government likes it's money too much.
Not after you just posted it online for Big Brother to see lol. Many people do that, and I don't look down on them for doing so, because it's bs to pay taxes on a material good more than once, when we already pay separate titling and registration fees. The problem is that I believe it is a felony, and you can get a lot of jail time for it, the government likes it's money too much.
I think in some states the buyer puts down how much he bought it for, the seller just signs the title saying that he's selling it. I don't remember in Cali anymore.
I bought a 1987 Porsche 911 in VA for less than book value and DMV tried to charge me sales tax based on book value. I told them I was not paying tax on a sales price I didn't pay. But I didn't have a bill of sale. The nice lady quietly told me to leave the bldg., take this DMV bill of sale and have someone else sign it and fill it out, then come back to her window and I wouldn't have to wait. I figured, if the state wasn't gonna believe me, I might as well lie. So I gave myself a big discount for the car and had a friend sign it. I later called the seller and told him and he was cool with it.
The DMV has heard every trick in the book, and there is no way you are going to beat them., If you purchase a car and could get the seller to give a phony bill of sale for less money, first of all, you would both be in violation of the law, and it could bite you in the butt.
DMV has a better approach. If you buy a car and the price is too low, they have a chart and will charge you according to what the value of the vehicle should be. They are way ahead of anything you can think of, they have seen it all, and heard it all. You're spinning your wheels.
Also, there is no sales tax on a car purchased used in California. They charge you "Used" tax, which just happends to be the same amount as sales tax.
Yes, you can go out of state to make a purchase, Oregon has no sales tax. You are not allowed to purchase a new car out of state and bring it back, as soon as you try it and try to register it, they will charge you the tax you didn't pay in Oregon, plus othr fees and fines.
The one way to do it, not legal of course, is to keep it registered in Oregon, but if you ever get stopped by an officer, you better be able to prove you live and work in Oregon, and are only visiting California. Another thing you have to worry about if you try that, your frineds or neighbors will not be happy you are saving all that money, so they will turn you in...
You aren't the first to try and beat the system, so to quote a famous cowboy, "Do you fell lucky?'
Check to Calif Vehicle code on line, it will explain about bringing a car in from out of state... They have you by the left one, and there is no escaping it....
Bite the bullet and pay the $1-1.5k tax to not have to worry about the Fed banging down your door. Sales tax on used cars is just a fact that we have to live with until laws change. The only thing the government does well is enforcement of collecting taxes, and you don't want them coming after you.
Move to another state like OR that does not have state tax Wink Wink.
Great idea, usafracer.
Arizona does not collect Sales Tax on "Private Party Transactions," however, driving in California with Out Of State Plates could create additional problems and attract negative attention.
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