How can I trade cars with someone and avoid sales tax?
September 12th, 2007 | by admin |
Westport asked:
My mother in law has a Honda Accord and I have a BMW. I would like to give her the BMW and take the Accord. The problem is that in order to register the cars we would need to pay sales tax on the MARKET VALUE of each car. Is there a way we can trade cars and avoid paying sales tax? My car is registered in Connecticut. My mother in law’s car is registered in Mass.
JANINA
My mother in law has a Honda Accord and I have a BMW. I would like to give her the BMW and take the Accord. The problem is that in order to register the cars we would need to pay sales tax on the MARKET VALUE of each car. Is there a way we can trade cars and avoid paying sales tax? My car is registered in Connecticut. My mother in law’s car is registered in Mass.
JANINA
4 Responses to “How can I trade cars with someone and avoid sales tax?”
By rotus on Sep 14, 2007 | Reply
Cars to gift the cars to gift tax if there is one available in your states.
Cars to each other and pay lower gift the cars to gift tax if there is one available in your states.
By Bill W on Sep 14, 2007 | Reply
For schoos and such.
By sandzman on Sep 14, 2007 | Reply
The transaction as gift and you pay tax but registration fee which should be deductible on market value rather than actual.
By m c on Sep 15, 2007 | Reply
give them to each other as gifts