Jump to content

Gifting a car


cptn janks
 Share

Recommended Posts

Guest tbutera2112

paul doesnt know wtf hes talking about....yes, write gift and have it notarized, i just did this when i bought my car

 

 

on a side note, if its not a real gift, and they pay you and youre trying to avoid taxes, DO NOT make a deposit into your bank...deposit littel amounts at a time or just keep cash....i bought my car and the guy signed it over as a gift, and then he deposited the money i paid him (minus the deposit i paid 4 days earlier) and it got audited and they looked up his bank records and found out he had a big deposit the same day he sold the car....they sent me a letter saying i owe them 500 for taxes and have 2 weeks to pay them

Link to comment
Share on other sites

paul doesnt know wtf hes talking about....yes, write gift and have it notarized, i just did this when i bought my car

 

 

on a side note, if its not a real gift, and they pay you and youre trying to avoid taxes, DO NOT make a deposit into your bank...deposit littel amounts at a time or just keep cash....i bought my car and the guy signed it over as a gift, and then he deposited the money i paid him (minus the deposit i paid 4 days earlier) and it got audited and they looked up his bank records and found out he had a big deposit the same day he sold the car....they sent me a letter saying i owe them 500 for taxes and have 2 weeks to pay them

See what happens when ur cheap? Write 30 to 100 dollars on it an pay the less then 20 dollars in tax an not worry about being "aduited"

 

Me>you

Link to comment
Share on other sites

Guest tbutera2112
See what happens when ur cheap? Write 30 to 100 dollars on it an pay the less then 20 dollars in tax an not worry about being "aduited"

 

Me>you

 

pretty sure it still woulda got audited even if it was that low...it was an 04 with 70k miles that booked for 12k at the time

 

 

hell i bought it from a grove city cop and it was his idea...said it would be fine since his friend was the notary....guess thats what i get lol....im done cheaping out on that shit, not worth the hassle

Link to comment
Share on other sites

Guest tbutera2112
its a legitimate gift. no money exchanged or anything like that.

 

then it shouldnt be a problem.... just stop by any bank and have it notarized, then take it in to the bmv already notarized...then you dont have to worry about the bmv having an issue with it like what happened to paul

Link to comment
Share on other sites

That only applies to tax deductible gifts, does it not? If you gift a car to an individual, it isn't tax deductible, so no worries right?

 

 

No. It's gifts. It would fall under the gift tax.

Link to comment
Share on other sites

Just remember, the IRS can audit you for giving gifts. You are only allowed $13,00 per year.

 

It's true, and it's 13,000 for each donee. Donor always pays the gift tax so becareful when giving car away as "gifts" for people you don't know. I would just sell it for a dollar if given away as a gift. If they ask both parties when they audit. If you said you sold it for a dollar, there is nothing the City can do about it.

 

http://www.irs.gov/businesses/small/article/0,,id=108139,00.html

Link to comment
Share on other sites

It's true, and it's 13,000 for each donee. Donor always pays the gift tax so becareful when giving car away as "gifts" for people you don't know. I would just sell it for a dollar if given away as a gift. If they ask both parties when they audit. If you said you sold it for a dollar, there is nothing the City can do about it.

 

http://www.irs.gov/businesses/small/article/0,,id=108139,00.html

 

Hmmm... did not know that. Thanks!

Link to comment
Share on other sites

My mother in law just two weeks ago gifted us her Saturn Vue. Local Title Bureau said to write "family transfer" on the sale price line, and no taxes get assessed.

 

This is what I had to do too. $0 purchase price only works for family transer....per the lady at the BMV. I later traded a car for my Ranger and they wouldn't do $0 since it wasn't family. I just put $500 and paid the tax.

Link to comment
Share on other sites

Guest tbutera2112
This is what I had to do too. $0 purchase price only works for family transer....per the lady at the BMV. I later traded a car for my Ranger and they wouldn't do $0 since it wasn't family. I just put $500 and paid the tax.

 

thats why you have it notarized at the bank instead of teh bmv....bank doesnt give a shit how much you put on the title

Link to comment
Share on other sites

It's also a federal tax (gift tax) so the BMV doesn't really give a shit on the value of the gift. They would rather that you say $1 so that the state gets their $.05 and the county gets their $.025 cents
Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

 Share

×
×
  • Create New...