Sales Tax
Thread Starter
Drifting
Joined: Jun 2010
Posts: 1,781
Likes: 15
From: Oxford Ohio
Sales Tax
Is anyone having issues with the sales Tax people? I bought a 71 back in the winter for $9,000. Got a bill of sale from the seller. Switched the title got my tags and paid 6.5 % sales tax. This last August they send a letter stating the car is valued at $22,885 and I owe another $900. I responded and sent a copy of the bill of sale. Nothing happened then This week I get a return receipt request letter from the Sales Tax people with a bill for the $900 and a $100 late penalty and $25 interest. I called around and a friend of mine who bought three old cars around the same time received the same type of letter. One of his cars was a 1950 ford rag top.
Just wondering if Ohio is so broke they have to act like the IRS to anyone else.
Just wondering if Ohio is so broke they have to act like the IRS to anyone else.
Melting Slicks
Joined: Jul 2006
Posts: 3,103
Likes: 802
From: Massapequa Park NY
Maybe you can ask them if they think the car is worth $22885 then they can buy it for $20k and sell it themselves to make a few grand profit. That would be a nice profit for you. If they’re not willing to buy it then they shouldn’t be telling you what it’s worth. WTF do they know? Then again as they say you can’t fight city hall.
I know my reply isn’t much help but these tax collectors **** me off.
I know my reply isn’t much help but these tax collectors **** me off.
Pro
Joined: Apr 2012
Posts: 657
Likes: 114
From: Picton NSW
I’m in another country, but we have similar stile extortionist here, get yourself a good tax agent / tax solicitor and take them on.
Even when you buy anything through a store front and receive a discount , you don’t pay tax on the before discount price,
you live in the land of the free, but like us here in Australia it’s not so free.
solicitor!
bfit
Even when you buy anything through a store front and receive a discount , you don’t pay tax on the before discount price,
you live in the land of the free, but like us here in Australia it’s not so free.
solicitor!
bfit
Drifting
Joined: Nov 2016
Posts: 1,963
Likes: 579
From: Pittsburgh PA
Ohio seems to be horrible. I sold a truck to a guy in Ohio(I’m in Pa) and Gsvd him title bill of sale whole nine yard. I got a letter in the mail from Ohio wanting me to fill out info on what I sold truck for. It was a notarized bill of sale none the less.
Instructor
Joined: Dec 2011
Posts: 189
Likes: 55
From: Virginia
Information from the Ohio Department of Taxation states:
"Taxes would be the responsibility of the purchaser and are based on the agreed upon purchase price."
Someone at their tax department doesn't know their own tax rules.
"Taxes would be the responsibility of the purchaser and are based on the agreed upon purchase price."
Someone at their tax department doesn't know their own tax rules.
Thread Starter
Drifting
Joined: Jun 2010
Posts: 1,781
Likes: 15
From: Oxford Ohio
It's even worse, I bought two 71s. One a while back and one this past winter. I switched the titles at the same time. One was worth the $22,885 and the other one they say was valued at $6,550 Both the same year nothing different with either one as far as they know.Only difference one is red and the other is warbonnet yellow.
Administrator
Joined: Jul 2000
Posts: 53,983
Likes: 6,211
From: About 1100 miles from where I call home.
Is anyone having issues with the sales Tax people? I bought a 71 back in the winter for $9,000. Got a bill of sale from the seller. Switched the title got my tags and paid 6.5 % sales tax. This last August they send a letter stating the car is valued at $22,885 and I owe another $900. I responded and sent a copy of the bill of sale. Nothing happened then This week I get a return receipt request letter from the Sales Tax people with a bill for the $900 and a $100 late penalty and $25 interest. I called around and a friend of mine who bought three old cars around the same time received the same type of letter. One of his cars was a 1950 ford rag top.
Just wondering if Ohio is so broke they have to act like the IRS to anyone else.
Just wondering if Ohio is so broke they have to act like the IRS to anyone else.
Make an appointment with your DMV, bring your documentation and handle it in person if you want it to be taken care of promptly. You might have to go through an appeal process if they simply believe all ‘71 Corvettes are worth $22k regardless of its particular current condition. It wouldnt surprise me.
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Race Director
Joined: Oct 2007
Posts: 15,833
Likes: 90
From: Fairfield, VA
Maybe you can ask them if they think the car is worth $22885 then they can buy it for $20k and sell it themselves to make a few grand profit.
Le Mans Master
Joined: Jan 2007
Posts: 8,000
Likes: 3,339
From: Omaha NE
2025 c3 ('74-'82) of the Year Finalist - Unmodified
2023 C3 of the Year Finalist - Unmodified
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Say I buy a box of Wheaties in Ohio for $3 at one store and the place down the street sells it for $4.
Would I owe the state the difference in sales tax?
You pay sales tax on the price paid.....this is nuts...
Would I owe the state the difference in sales tax?
You pay sales tax on the price paid.....this is nuts...
Le Mans Master
Joined: Jun 2006
Posts: 6,400
Likes: 1,226
From: Tampa Florida
Le Mans Master
Joined: Jan 2007
Posts: 8,000
Likes: 3,339
From: Omaha NE
2025 c3 ('74-'82) of the Year Finalist - Unmodified
2023 C3 of the Year Finalist - Unmodified
2022 C3 of the Year Finalist - Unmodified
2020 C3 of the Year Finalist - Unmodified
... In Nebraska you fill out a bill of sale form on private party sales.I picked up this low, I mean extremely high mileage POS almost 20 years ago for only $2k...
STA71120
Your LS5 convertible in #2 excellent shape is worth a cool $62k. That's like 4 times my Vette...
Not to mention the almost 200 hp difference under the hood...
Or that effortless feeling under acceleration that BB torque gives to your C3...
How about this Indiancreek: Say you had laid down $225k for a '71 LS6 Roadster. A #2 with Hagerty.
Do you think the State would of sent a letter saying "we've adjusted the value of your '71 Corvette to $22,885. Please find enclosed refund"
Last edited by SEVNT6; Nov 29, 2021 at 11:54 PM.
Team Owner
Joined: Jan 2006
Posts: 37,637
Likes: 3,118
From: Crossville TN
Try dealing with the tax folks in your county. Print out a copy of the relevant tax code from the State website. If that doesn't get reasonable results, take the issue up with your County Mayor or County Commissioner. Next step would be to elevate to the over-riding tax group at the state level. Then it would be litigation; but I doubt that you will have problems after you show that you know what the tax code requires.
I'm sure there are some sleezy bureaucrats out there who would send out such faulty tax invoices just hoping that some of them will just pay the stated taxes due. They would no doubt ACCEPT that money, even though it wasn't legally due. There are crooks everywhere.....
I'm sure there are some sleezy bureaucrats out there who would send out such faulty tax invoices just hoping that some of them will just pay the stated taxes due. They would no doubt ACCEPT that money, even though it wasn't legally due. There are crooks everywhere.....
Thread Starter
Drifting
Joined: Jun 2010
Posts: 1,781
Likes: 15
From: Oxford Ohio
The story came to a conclusion, I sent a letter to the Tax division via a fax number they had provided, asking to clear up some confusion I have. The method of determining the value of the vehicle, why the difference in the values of near identical vehicles. Along with the list I requested for the hearing the person who made the determination, the documents or program used in the computation, the training records of this person, and the location of the governing body having jurisdiction over the hearing, to accept my subpoena list of the prior listed items.
Got a letter from the department informing this tax obligation had been cancelled.
I wonder how many people just pay the number they are given.
Got a letter from the department informing this tax obligation had been cancelled.
I wonder how many people just pay the number they are given.
