Cheesesteak, thanks for explaining that. But I mean, wow. I’ve literally just come back from the bank after depositing the cheque for selling my car and I’d freak if I thought I had to pay tax on a provate sale. Are there any other things that you have to pay tax on if sold privately - Houses I understand, and occasionally kidneys, but is there anything else ?
In Mass, the tax is paid at the time of the registration of the car. This is not the same as the creation of the title.
Simply have the dealer create the title, but do not register the car. Immediately (heck, in the parking lot), have the friend transfer the car to the OPer, take that bill of sale, and the relevant paperwork to the DMV, and register the car. Put the plates on it (still in the Dealer’s lot), and drive away!
Tax there would only be paid once. I think…
Although I’m from MA originally, I escaped to the great state of NH, where there is NO sales tax, so this wouldn’t be a problem, but I do have some of the horror of MA still scarred into the memory.
-Butler
The selller doesn’t pay the sales tax. The buyer does. Around here, it’s policed by the registration - I buy a car from you, I go to register it and I have to pay the sales tax in order to register it.