Pay tax on MSRP or actual sale price?
We bought a new Fuzion a couple weeks ago in Colorado. Just got the title in the mail, and noticed that the price listed was the inflated MSRP, which was $50,000 more than we paid. So, we're sitting...
Forum Discussion
pompomgirl wrote:Many states have gone to using book valuations to determine taxable values for that exact reason.I would say that you "Should" pay the tax based on the sales price. However you never know what the local state or county government will base it on.
That's right. A friend of mine here in Washington bought a used Mercedes at a very good price, and the state tried to charge him tax based on the Kelly Blue Book. They said they started doing that to prevent people selling cars to their friends for $10 and taking the rest in cash. Last I heard, he was still contesting it.
