MitsuStyle - View Single Post - Question for people who know DMV TTL rules

niterydr · 09-12-2012

As taxes are already paid on the first unit it works as follows.
Old car was purchased for $5000 + taxes
Old car is worth say $4000 trade in and has a loan for $3900

New car is worth $20,000
Sale price of car is discounted to $16,000 + taxes
Then the $3900 is added to the price of the car
Total car price is $21020 ($16k + 7% tax + $3900 loan payoff).

If taxable value is the same on both assets, taxes shouldn't be due as taxes were already paid on the sale once. I would call the DMV to confirm, but I would imagine this would qualify as a $1 sale.

09-12-2012	#3
niterydr back in the saddle again 24 Hours Rally Champion! 3D Pacman white house edition Champion! 3D Racing - Track 2 Champion! ATV Winter Challenge Champion! Bloody Pingu Champion! WRX Racing 2 Champion! Tournaments Won: 5 Join Date: Oct 2003 Location: Elkhart Texas Drives: 2015 Ram Quad Cab Hemi, 1999 FRC Corvette, 93 Stealth Turbo Posts: 6,411	Re: Question for people who know DMV TTL rules As taxes are already paid on the first unit it works as follows. Old car was purchased for $5000 + taxes Old car is worth say $4000 trade in and has a loan for $3900 New car is worth $20,000 Sale price of car is discounted to $16,000 + taxes Then the $3900 is added to the price of the car Total car price is $21020 ($16k + 7% tax + $3900 loan payoff). If taxable value is the same on both assets, taxes shouldn't be due as taxes were already paid on the sale once. I would call the DMV to confirm, but I would imagine this would qualify as a $1 sale. __________________ My street car runs low 11's and my race car's personal best is a mid 11....