Traded Guzzis with a friend

[Buckturgidson]

In a moment of weakness I bought a 2013 V7 Special last summer. Had some buyers remorse, mostly related to the suspension. After trading bikes with a friend for a week or so we decided to swap, my Special for his 2008 Breva 1200 Sport. It was a win/win, with 34" arms and legs I fit the Sport better, my bud is smaller and fits the Special, plus he likes all the attention it garners. 

[twhitaker]

State collects sales tax times two on a net zero swap. Why does the government have all the fun? :roll

[Groover]

Have to love when it all works out like that. Congrats on the new trade!

[Kev m]

State collects sales tax times two on a net zero swap. Why does the government have all the fun? :roll

Depends on the state and the type of transaction.

[kevdog3019]

Sell for a buck apiece.

[dan407]

Sell for a buck apiece.

In Florida, if the purchase price is below the KBB value or some such book you have to provide proof of the lower value.

[rdbandkab]

In Florida, if the purchase price is below the KBB value or some such book you have to provide proof of the lower value.

Same in WV.   If the bill of sale is too low,  they go to the books.

[jbell]

Sell for a buck apiece.

In Texas, the DMV will assign a value to your purchase (trade) even if you honestly got a great bargain on a bike or car.  I don't know if there is a way to prove it is only worth what you paid.  Then the legislature takes the money and uses if for things other than road and bridge maintenance  and then turns existing roads into toll roads due to lack of funds.  Sweeeeet.

[ITSec]

State collects sales tax times two on a net zero swap. Why does the government have all the fun?

In Nevada, you only pay sales tax on value difference for vehicles - and no sales tax at all on private sales. No problem here!

Of course, your plate charge is based on a depreciated MSRP, so a bike that hjad a higher MSRP would cost more to register and renew (if they are the same year). In this case, it likely is pretty clean all around.

[redrider90]

State collects sales tax times two on a net zero swap. Why does the government have all the fun? :roll

I have never lived in a state where private sales of vehicles were taxed. Only retail establishments charge sales taxes where I have lived.

[Doppelgaenger]

WA taxes you based off of KBB, it doesn't matter what the bill of sale says the value is. I understand why they do it... it's not like the taxes are too bad in this state, and the fact that I don't get taxed income tax like california makes that OK in my book. Much rather keep 7% of my paycheck and pay $300 in tranfer fees than have to deal with income tax.

[Cam3512]

I have never lived in a state where private sales of vehicles were taxed. Only retail establishments charge sales taxes where I have lived.

We pay sales tax on the stated price on private sales in NJ.  7% of the purchase price.  Regardless of the age of vehicle.  Not sure what they would do on a straight-up trade.

[Phil/TX]

Even trade in TX is only $35 admin fee, done it twice in last two years, BMW R1200S, for BMW R1200RT.

[Yeahoo Whoyah]

so we decided to swap, my Special for his 2008 Breva 1200 Sport. It was a win/win

Congratulations, sounds like you're both happy.