Title Question

[JoeSTL]

Question for all of you. An ethics question, I guess... When turning in the title to pay sales tax and get plates, do you all put the actual sale price on the title or do you put less? I mean, if I put 2k on there, is anyone going to know that I paid more?

 

[mave2911]

I personally put as low a figure as I think I can get away with - the gubbermint doesn't need my money anywhere NEAR as much as I need it.

If it were defrauding a person, then yes, it would be unethical - but sit there and honestly say you get value out of the taxes you pay?

So it really is a decision you need to make yourself - do you think it reasonable to expect to have gotten a roadworthy bike for $2000?

In America, I think it would be. (the land of the low wages and cheap stuff)

Cheers,
Rick

EDIT: do you not need a receipt or bill of sale? I usually just get the seller to fudge the selling price on the receipt!

 

[JoeSTL]

I personally put as low a figure as I think I can get away with - the gubbermint doesn't need my money anywhere NEAR as much as I need it.

If it were defrauding a person, then yes, it would be unethical - but sit there and honestly say you get value out of the taxes you pay?

So it really is a decision you need to make yourself - do you think it reasonable to expect to have gotten a roadworthy bike for $2000?

In America, I think it would be. (the land of the low wages and cheap stuff)

Cheers,
Rick

EDIT: do you not need a receipt or bill of sale? I usually just get the seller to fudge the selling price on the receipt!

I don't need a bill of sale to get the plates, and the seller just signed his name on the title, so I can put whatever I want on it for sale price.

 

[mave2911]

I don't need a bill of sale to get the plates, and the seller just signed his name on the title, so I can put whatever I want on it for sale price.

I think if you were lucky enough to be in the right place, at the right time, than it isn't inconceivable to have bought that bike for $2000.

It is, however, considered fraud, so if you get caught, the penalties could far outweigh the extra cost.

Like I said, I've always done it as a matter of principle, but stop short of recommending YOU do it!

Cheers,
Rick

 

[Sawblade]

Texas has this figured out and charges tax on 80% of the blue book value unless you prove it was less.

 

[Ben_H]

In nj you can put what you want but even if you really only paid 2k and it is worth more they will try to collect the difference but you can fight it and no penaltys they just want the tax money. but it should be illegal because the taxes have already been paid once by the original owner so they get to double tax you

 

[adberns]

Personally, I always put what I actually paid for it. Of course, I've always owned some pretty crappy cheap bikes, so it wasn't a giant issue My FZ, the previous owner must have put a very low amount (or paid next-to-nothing for it). The only thing I see on the past title is the fees. So I go in expecting the bill to be similar to what was on it. Nope - several hundred more!

So, while I always put the real sale price, I am well aware most people that I have talked to do not! FWIW.

 

[ebster1085]

Never once put the full amount I paid on a title when I had to register a new vehicle. That goes for cars and bikes. I always just have a quick chat with the seller and we agree on a number that seems reasonable and wont raise any suspicion.

 

[ktp1598]

I always put the lowest reasonable amount I could possibly get it for. I know people that actually do find amazing deals so it's not that unbelievable. Still always less than I paid though...

 

[Druff]

Just remember your insurance might only pay out on the title value so it might bite you in the arse if it's ever stolen.

 

[Karate.Snoopy]

In MA they use the sale price or NADA book value; which ever comes out on top

 

[nuud]

Just remember your insurance might only pay out on the title value so it might bite you in the arse if it's ever stolen.

Not sure how it goes state by state but in Florida when I totaled my bike last year, the other persons insurance paid for the estimated cost to replace it (1700 more) not the value i paid for the bike. And I think I put less on the value when I did the tittle transfer and registration.

 

[bigdog9191999]

the only time i put full price is when buying from a dealer and they send it in. but most stuff i deal with ( many of the cars i deal with on the regular, as i buy fix sell some on the side) is 15-25 years old and living in the rust belt i could put near scrap price on most of it and they would never question it. but if you put too low a price say 1,000 on the title on a two year old vehicle they will tax based closer to book.

and insurance here pays book not title value