Like I've said before. Uncle Sam has to get his hard earned share.
You know better; next time will be a ban.
lol i knew this comment would come up... you're right, you can.
chances are, the car was bought out of state. everyone buying a new car should get it from out of state...
but as a businessman, it would be stupid to. you're better off starting a business in another state, and registering the exotic through the business itself, to avoid the GA sales tax. $28,000 will last you the lifetime of the car, having to pay for tag.
even if you have to pay $1000 a year to drive an adventador... that's 28 years of ownership and maybe 0.0000001% of exotic car owners keep their car for that long.
Going to register my new car TODAY. lol
I know people that purchase from private sellers are going to get screwed in this. My MIL is one of those and she is pissed about it.
I guess I could go back and read the article or check the actual code or law, but I will be lazy instead. Can you use out of state sales tax like you can with in state sales tax to offset the title tax?
My business is going to benifit from this greatly. Awesome.
1994 Nissan Skyline BNR32- Currently being built for 1000+awhp (the works)
2003 Subaru Wrx (jdm sti ext.conv)- 6.0 LSx , T56, Fast 92 TB,IM,MS4 cam,+++
1995 Nissan S14.5- Sr20det, built motor, full race 3071r turbo kit, z32 tranny+++
1997 Honda Civic Ek Hatch- In process: K24/20 BC stroker, custom turbo kit, tubbed +++
According to the estimate calculator I saved money by registering today.
Completely false. The new tax will be based on market value of the vehicle and dealers are fighting it furiously. GADA is aggressively attempting to make the process simpler for both dealers, customers and are in the process of preventing the customers that would lease vehicles.
Twisted Loop Racing
Simply put here is how it works. The new TAVT replaces both the sales tax normally charged on the vehicle and the "birthday" tax. Now, how it will work it is that it you will pay 6.5% based on what the DOR considers the market value to be and then you are done no longer paying sales tax of the "birthday tax". The TAVT will increase annually and is estimated to cap out at ~7%. The advantage is that if you purchased your car recently or post 3.1.12 you will save money based on the elimination of your birthday tax. The two major objections the GADA(Georgia auto dealer association) has are that it is both confusing and counter intuitive to base the TAVT off of the DOR "market" value with the other objection being that consumers that choose to lease will pay TAVT on the cap cost(lease selling price) along will still having to pay tax on the monthly payment(double taxing the consumer). This of course will greatly impact individuals/businesses that choose to lease based on their ability to write off leases more effectively for business purposes, those that lease for economic reasons and high end cars that depreciate rather quickly making it a slightly more financially sound decision while allowing the consumer to change cars more frequently without that depreciation exposure.
It is a revenue increase because it doesn't allow those that purchase cars and avoided paying taxes before. The benefit to dealerships is that it reduces the disparity between the cost of a purchase outside of a dealer and one via a dealer. That is it's only boon though, the loss of business from consumers through leasing and the confusion caused by the TAVT being based on the market value will initially offset that. A bill attempting to simplify the process and not double tax consumers that choose to lease has made it through the house, stalled in the senate, revised and is now being reviewed by the house again. Any changes made though, will not going into affect prior to ad 90 day period.
This link is a good source to see how those that elect to opt in will be affected and help them make an informed decision on whether or not they should choose to participate or abstain from their choice. Georgia Department of Revenue
Twisted Loop Racing
oyy. this in my opinion will make people keep their cars longer......which means extending the time those taxes are brought in.
www.MSSRACING.com - 99 Civic CX - Best ET: 9.53 / Best MPH: 160 - Competition Clutch - Arias Pistons - Coatings M.D. - Mahle-Clevite - ebtec - AHobbs Racing - JKOBD - TDC Performance
Daily D: 2007 Dodge 2500 MEGA CAB, Cummins Turbo Diesel
There are reasons it could extends peoples trade cycles but like with anything else it will only cause purchase processes to change and adapt. Lets say less people sell cars outright because that market softens due to potential consumers no longer having the lack of sales tax advantage...well then those customers are likely to trade their car however, they then receive a credit based on the amount the dealer allows them for the car. This is where it could benefit dealers however, since the birthday tax along with the sales tax is now all front loaded it will extend their trade cycle causing less cars being sold. There are pro and cons for both the consumers and the dealers. Ultimately it will be a revenue increase in the interim but, the market will simple shift with the change and those that adapt quickly can take advantage and those that cannot won't. Really it's just like anything else.
Twisted Loop Racing
^ that can slightly benifit us (Im a dealer) but what sucks is now we have to charge taxes based on NADA style values which is bullshit. If I have a 10k dollar car on my lot with some paint damage or something and trying to sell cheap for 5k....I have to charge the customer tax on 10k...bleh.
1994 Nissan Skyline BNR32- Currently being built for 1000+awhp (the works)
2003 Subaru Wrx (jdm sti ext.conv)- 6.0 LSx , T56, Fast 92 TB,IM,MS4 cam,+++
1995 Nissan S14.5- Sr20det, built motor, full race 3071r turbo kit, z32 tranny+++
1997 Honda Civic Ek Hatch- In process: K24/20 BC stroker, custom turbo kit, tubbed +++
I somehow doubt the ~$300 in sales tax diff will cost you a sale on that car. Dealers selling used cars will benefit because you'll get business from would be private party buyers and people negotiating drive out prices allowing you more profit. This will happen because most often you'll be selling the car for more than what the state deems its market value to be. So if a bottom line is negotiated and the TAVT is based on a lower value you can have a higher selling price.
Last edited by 05dc5s; 03-02-2013 at 12:05 PM.
Twisted Loop Racing
1994 Nissan Skyline BNR32- Currently being built for 1000+awhp (the works)
2003 Subaru Wrx (jdm sti ext.conv)- 6.0 LSx , T56, Fast 92 TB,IM,MS4 cam,+++
1995 Nissan S14.5- Sr20det, built motor, full race 3071r turbo kit, z32 tranny+++
1997 Honda Civic Ek Hatch- In process: K24/20 BC stroker, custom turbo kit, tubbed +++
So i paid $300 today for a tag on a 2003 motorcycle............
This is horse shit.
welcome to the club...and god forbid you sell it and get another bike after the season...well pay another tax kind sir !
LS3 / Comp / Halltech / ARH / Powerdrive / OZ / Stoptech / Katech / B&B / VR Tuned
The law isn't perfect. I wouldn't be surprised if it got replaced with something soon. I understand why they did it. Some people, like me, benefited. Others didnt.
I dunno. I wouldn't be so sure on that. Do you know how many people buy cars from dealers in GA?
It would seem like a lot of people buy private since that's what happens on here all the time. But the people who benefited bought their vehicle from a dealer. That tag fee was rolled into the price of the vehicle at the signing chair.
LS3 / Comp / Halltech / ARH / Powerdrive / OZ / Stoptech / Katech / B&B / VR Tuned