Got a great deal on a 86 Vanagon Syncro a week ago. Bought it at a estate sale. Went to change the title into our names and they said that it was going to be $2650 in taxes and tabs. WTF how is that? I paid $3800 for a non running but stock syncro. Well according to the state the average value for that van is $25K. Another WTF is that coming from I ask. They say NADA or Kelly Blu Book.
They show us a chart with the prices and it looks like their trying to charge it as a westfalia syncro. Plus it was from the Hagerty site which wasn't NADA or KBB.
Come to find out NADA and KBB don't go back to 86 to be able to give a average value but Hagerty does.
So after I get home I look at Hagerty and end up regestering to the site to look at how they collect the value of the vehicles.
Suprises suprise all the Vanagons are lumped into the valued price. So even if it's a totally decked out overlander westfalia syncro that sell's for $80k. This is what my lowly non locker non running van is valued against.
I also checked my 124 Fiat coupe I just got as well. What do I find. It's value is mainly based on 124 spiders and a few coupes that sold. I even saw my coupe I bought in their chart.
Of course it's up to us to verify that the value isn't what they are trying to charge us. So of course it will take the state god knows how long to respond to that request. Which then put's us past the 15 day grace period to transfer the title. Then I incrue a fine of $50 that tops out at $125 to transfer the title. Which will of course be maxed out waiting for the state to respond.
Well I guess I feel a bit better so I'll get down off my soapbox for now. Just wish they would do things properly when they value any car.
Some states do that. When I was in TX I bought an F150 for $4600 which was a fair market value at the time. The state uses their own black book value and they said it was worth $8600. I had the right to appeal it, but I was told by a lawyer that they never succeed.
In reply to brad131a4 (Forum Supporter) :
The state tells you how to change the value: https://www.dol.wa.gov/vehicleregistration/usetax.html
Duke
MegaDork
4/4/23 8:07 a.m.
Delaware does it. They use (I think) NADA average condition value.
Noddaz
PowerDork
4/4/23 8:17 a.m.
I live in Maryland and when my mother passed a few years ago I inherited her 98 Sentra. I was listed as a co-owner on the vehicles title and had to pay sales tax on a vehicle that I already owned. It was "only" $300, but that is not the point. He who has the gold makes the rules.
SV reX
MegaDork
4/4/23 8:21 a.m.
GA does it. It sucks. Especially for people like GRMers who buy bargains, or parts cars.
There is a process to challenge it. I did it. I had to pay the fees up front, then get reimbursed. Took over a year, and the amount they discounted was pitiful. No where near worth it.
Pain in the ass.
It's similar here but they use wholesale value, and if it's too old or not on the list you're supposed to have an appraisal. But they've always just asked me what I paid and used that.
Pennsylvania is just 6% off whatever you say the sale price is. When I pulled the vermont loop hole they make you pay off the NADA value and I had to send in proof of the value online at the current time and submitted the tax accordingly. A small price given the fact I could register a titleless car.
I had that happen when I tried to register my '70 c50. C50 wasn't in the system but c10 was. And they valued it at something like 15-20k. Nope! Went back to the owner and wrote a bill of sale as a non-runner for $950. They took that and adjusted registration accordingly. I used the licensing place in downtown Bothell if that helps.
Not a state but I used to live in a Caribbean island where vehicle values were assessed for insurance purposes by dealerships, who would dictate a non-negotiable valuation. That's how my Samurai ended up being given a pre-accident value of $750 - while just weeks before the accident, and before I added a custom roll bar, I had a guy hounding me in a parking lot to shut up and take over $3500 for it.
Georgia calls it an Ad Valorem tax, I believe CT, Virginia, Mississippi and Rhode Island has it.
Look at British stuff and they talk about VAT taxes, same thing. Value Added Tax.
Missouri just started doing this too, I live in Kansas and I'm sure Kansas will follow suit as soon as they see all the additional income Missouri is getting. They used to depreciate the car over a 10 year period to the minimum ($50 tax I think), now they claim to be using NADA but they're really using the Hagerty used car guide, and just taking the average - or so they say.
My Missouri buddy had three old cars that he previously paid about $300 a year for (all three - total) and the new amount is now closer to $1200.....
What was almost comical is that his 2006 MINI JCW now pays less in tax than his 79 MG Midget or 69 Classic Mini!
The one thing I also forgot is I have been a government employee in the past. I learned there that the government can't make a profit from people. So if the value that is provided is incorrect in the first place they are making a profit from the tax revenue. All be-it in a round about way and under the guise of median value from a supposed third party.
I don't have a issue with paying my share of taxes. I just want them to be the correct value to pay the correct amount.
calteg
SuperDork
4/5/23 9:30 a.m.
Curtis73 (Forum Supporter) said:
Some states do that. When I was in TX I bought an F150 for $4600 which was a fair market value at the time. The state uses their own black book value and they said it was worth $8600. I had the right to appeal it, but I was told by a lawyer that they never succeed.
Yup. TX at least will let you see what the minimum value is on any given car. Handy metric when you're on the fence about buying a non-runner or parts car
In for picts of the 124 Sport Coupe.
Noddaz said:
I live in Maryland and when my mother passed a few years ago I inherited her 98 Sentra. I was listed as a co-owner on the vehicles title and had to pay sales tax on a vehicle that I already owned. It was "only" $300, but that is not the point. He who has the gold makes the rules.
Whoever told you that was 100% wrong. In MD when you gift a car to. family member there is no tax and no inspection. If you were already on the title you just file to have the other person removed. It's been that way for at least 40 years in MD.
In reply to hobiercr :
If you go on to B.A.T it's on the sold list for Italian cars. It's the 69 Red with Green top. Not my paint job so I'll leave it at that.
The pictures don't show the whole story of the rust involved in this car. So far I've got the whole drivers side replacement part's coming. The floors are easy to do so not worried about getting those. I have to replace the trunk skin as well as the rear upper center panel. The hood I hope is salvageable as I haven't located another one that's in better shape. I did a quick pull of the front fender and was welcomed with a pound of bond as it fell off the fender. The rest of the drivers side looks to be about as bad. I'm feeling like a good challenge so I'll see how it goes.
I've also found out that a lot of the lighting and some interior parts also are on the Lambo Esparda. So you can just guess how much it marks those puppies up. $1400 for a new set of rear taillight housings and covers. Ouch!
You are making me glad I live in NJ. Unless the price you buy it at is too low, like $1, where it flags as a gift, you simply pay the tax on what you paid for the vehicle. Registration cost is based on the weight and class.
I may live in a high tax state, but at least our rules are straightforward and not open to interpertation.
CT stinks in this regard, they use a valuation tool (I think it's NADA or Black Book) to assess value when you register the car. You pay sales tax (6.35%) based on that value Nothing is in there to account for condition. Same with taxes, we get screwed by having high mileage cars that are worth very little. I fight it every year out of principal, but it only knocks (literally) a few bucks off of our tax bill.
In SC you pay a state sales tax that is capped at $300. Then you will pay a county property tax based in their established value. They have pulled some lulu's in the past like when Harley prices went nuts, followed up by high taxes when SUVs got real popular. You can file an appeal if you can provide a legit bill of sale.