Car Raffle Winner Question
Thread Starter
Burning Brakes
Joined: Apr 2005
Posts: 834
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From: Palm Beach Gardens FL
Car Raffle Winner Question
A guy I know just won a Toys for Tots style raffle where the winning prize was a fully restored 71 Dodge Challenger. He is worried about the taxes that will be charged to him. Anybody have experience with this??
thanks
Brandt
thanks
Brandt
Thread Starter
Burning Brakes
Joined: Apr 2005
Posts: 834
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From: Palm Beach Gardens FL
From the brochure its Barret Jackson quality and someone is saying he will have to pay approx. 35% tax on a 100K car in Indiana. He doesn't have that kind of money....
Safety Car
Joined: Jul 2004
Posts: 4,806
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From: Rochester MN
Its no different than winning a car on a game show. You are taxed on its value. Most stories end with the person selling the car cheap, say
$50K on this $100K car, paying the 35K in taxes and having a big smile on their face with 15K of walking-around money in their pocket.
$50K on this $100K car, paying the 35K in taxes and having a big smile on their face with 15K of walking-around money in their pocket.
Thread Starter
Burning Brakes
Joined: Apr 2005
Posts: 834
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From: Palm Beach Gardens FL
Originally Posted by Dave1998
Its no different than winning a car on a game show. You are taxed on its value. Most stories end with the person selling the car cheap, say
$50K on this $100K car, paying the 35K in taxes and having a big smile on their face with 15K of walking-around money in their pocket.
$50K on this $100K car, paying the 35K in taxes and having a big smile on their face with 15K of walking-around money in their pocket.
Thread Starter
Burning Brakes
Joined: Apr 2005
Posts: 834
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From: Palm Beach Gardens FL
Originally Posted by Floridasky
A couple of years ago when the Pontiac G6 was introduced on Oprah, every member of the audience was given a car only to find they had to pay the tax.
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Race Director
Joined: Nov 2003
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From: Mustang OK
Yes, he will have to pay taxes on the car. How much will depend on the car's valuation, his income, tax bracket, etc. Too, he should be asking this question of a tax or financial advisor, one who has knowledge of his income/tax status/etc., rather than the folks here on a Corvette discussion forum.
Last edited by GrayC5; Dec 1, 2006 at 08:05 PM.
Thread Starter
Burning Brakes
Joined: Apr 2005
Posts: 834
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From: Palm Beach Gardens FL
Originally Posted by GrayC5
Yes, he will have to pay taxes on the car. How much will depend on the car's valuation, his income, tax bracket, etc. Too, he should be asking this question of a tax or financial advisor rather than the folks here on a Corvette discussion forum.
Race Director
Joined: Apr 2005
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From: Wesley Chapel, FL Las Vegas, NV
Fed and State Income Tax on the value of the Car. Also as an added bonus it will put him into a higher Tax Bracket.
Most people that win cars sell them, pay the income tax and pocket the difference.
Most people that win cars sell them, pay the income tax and pocket the difference.
Race Director
Joined: Nov 2003
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From: Mustang OK
Originally Posted by brandtdavis
We are in a weekend masters degree program tonight and he just found out. Just wondering. Its a general car question.
Too, the Forums Home (index) lists all the forums here and shows the topics that are appropriate for discussion and posting in each.
Drifting
Joined: Jun 2002
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From: Iowa
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Originally Posted by GrayC5
Then you should post this in either the Off Topic or Other Cars section of the Forum. C5 General is for discussions related to the C5 Corvette. It is not the proper forum for discussion of tax questions on raffle winnings for a Dodge Challenger or whatever. See the moderators sticky post at the top of C5 General: Note to all, Forum Guidelines(or how to post)
Too, the Forums Home (index) lists all the forums here and shows the topics that are appropriate for discussion and posting in each.
Too, the Forums Home (index) lists all the forums here and shows the topics that are appropriate for discussion and posting in each.
Yada yada yada.....another wannabee moderator.....just answer the mans question and move on with your life, you're holding up the line here.
Burning Brakes
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From: Louisville TN
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Originally Posted by MagikDraggin
Yada yada yada.....another wannabee moderator.....just answer the mans question and move on with your life, you're holding up the line here.
You sir are my hero.
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Originally Posted by jasons0147
The short answer is yes..he will have to pay taxes. If he cant afford them, then sell. All there is to it...lets move on.
Melting Slicks
Joined: Mar 2005
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From: las vegas NV
Originally Posted by GrayC5
Then you should post this in either the Off Topic or Other Cars section of the Forum. C5 General is for discussions related to the C5 Corvette. It is not the proper forum for discussion of tax questions on raffle winnings for a Dodge Challenger or whatever. See the moderators sticky post at the top of C5 General: Note to all, Forum Guidelines(or how to post)
Too, the Forums Home (index) lists all the forums here and shows the topics that are appropriate for discussion and posting in each.
Too, the Forums Home (index) lists all the forums here and shows the topics that are appropriate for discussion and posting in each.
: