| OCR Text |
Show Purchasers of used vehicles still need to pay sales tax if the difference is greater than $750 of published automotive guide lines, the purchaser has the option of obtaining a certified appraisal. When purchasing a used car or truck from a private individual, i.e., not a licensed dealer, sales tax is due and payable at the time the vehicle is registered. The Division of Motor Vehicles uses the following follow-ing criteria in establishing the value of the car for tax purposes: If the buyer has a bill of sale, this should be presented at the time of registration. The sales tax is based on the sales price stated in the bill of sale. The bill of sale must contain the names and addresses of both the buyer and the seller as well as the sales price of the vehicle. If there is no bill of sale, the sales price is based on what the purchaser purchas-er declares as the sales price. If, however, this differs by $750 or more from the fair market value listed in published guidelines, the individual has the option of obtaining obtain-ing a certified appraisal. The sales tax is then computed on the lower of the two figures. When a trade-in vehicle is involved in-volved in the transaction, there are a couple of other considerations. First, only other vehicles can be used for trade-in purposes. It is not possible to consider the trade of other property, such as real estate, appliances, etc. for sales tax purposes pur-poses on the purchase of an automobile. auto-mobile. The sales tax is computed on the net difference of the traded vehicle and the purchased vehicle. Again, |
