i am selling my g35 coupe and the buyer suggested that i document that i sold it for significantly less (around the 15k range) so that he can pay less tax on the vehicle. Aren't there ways for the IRS to catch this? I guess this isn't a moral question, just more of a practical question. Sorry if it doesn't belong in car talk. Thanks, Brandon

 

If he's paying cash for the car then the IRS won't find out. If he's financing, on the other hand, it's not a hot idea.

 

i wouldnt take a gamble like that. He understands that buying a car in that price range = a certain amount of takes. Thats his responsibilty not yours.

 

In Washington State, you pay tax on the sale price or the car's book value, whichever is higher, so lying about the sale price generally isn't beneficial.

I'm with GrandMasterKhan -- morality aside, why would you do it anyway?

 

I've given smaller invoices on plenty of things.. In Ontario, like Washington, cars are taxed on the larger of black book or invoiced sale price.

They're taxing something that's been taxed once already..screw 'em I say

 

I payed "$300" for my RX-7 at the advice of the guy selling it to me. It was a cash transaction and the savings in taxes was nice enough to have me forget the morality side. Call me bad, but I get taxed when I make the money AND when I spend it, so keeping a little of what's already been taxed once doesn't bother me.

 

I paid 10,000 for my 01 s2k w/ 6k miles two years ago from a private seller

 

i sold my nsx for "300"














































j/k

 

People in NY do that all the time. A friend of mine bought a Porsche for $1.