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Illegal to make a profit selling your used bike in CA ?

Reli said:
Like they're going to prove shit anyway, considering how most people lie about the amount they purchased their car for.
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Pierre I am said:
everyone I met has put the kbb Value or lower on their DMV paperwork. Plus the government doesn't have the funds to charge you for this if you're making only s couple grand lol.
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I am the only person I know who has been caught doing this. I bought my KTM for $6000. I put either $3000 or $4000 on the bill o'sale. About a year later, I get a bill for the additional sales tax, plus a bazillion percent penalty, for the $165 I saved on the sales tax. Because I'm smart like that.
 
corndog67 said:
I am the only person I know who has been caught doing this. I bought my KTM for $6000. I put either $3000 or $4000 on the bill o'sale. About a year later, I get a bill for the additional sales tax, plus a bazillion percent penalty, for the $165 I saved on the sales tax. Because I'm smart like that.
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What was the evidence they cited for the additional value?
 
antidote said:
Also, fuck you to anyone selling that puts real price down on like a 10 year old used car/bike. WTF man. Just making transaction that much more expensive for buyer and you get no reward yourself. I can see how a 2 year old vehicle sold for $200 looks odd...but still. Still think it is illegal for them to charge sales tax anyway...shit was taxed when sold already...how is it okay to tax again?

#taxtroll


DMV dont care if its like $200, they dont know if it was partial trade for some handjobs. I bet DMV will even accept if you put "$27.50 BARF hobodollarz"

Seriously. A $2k miata is a...$2k miata..why did they put 2k??? God damn that is dirty. Its an 18 year old 2 seat convertible with 160k miles. Just put like $150. Fuck.
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No way I am going to perjure myself on a signed govt. document to save a random dude from craigslist a few hundred bucks.
 
When I worked for a salvage auction, we had all sorts of mofos buying and selling cars from us without dealer's licenses and they pretty much never got caught. The DMV couldn't figure out how to track/prosecute them so they came after us to require them to have dealer's licences for most transactions (which the company disregarded, but that's a different story....).

I knew one guy that got a stern warning from the dmv about getting a dealer license after about 10 years of buying and selling 30+ cars a year under his business name. He was the exception, not the rule...
 
Reli said:
What was the evidence they cited for the additional value?
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I guess the guy sent the release of liability and bill of sale with the correct price. I didn't even think to ask him about fudging the numbers, I usually just leave them blank and let the buyer fill it in.
 
I sold a vehicle once, the buyer asked if we could write down a lower amount.
I told him I didn't care what he declared. He said do you think they will catch me, I said I have no idea, how much are you thinking. He said an amount.

About two weeks later I got a letter from the DMV asking how much I had sold the vehicle for. I had no way of contacting the buyer so I wrote down the amount he had told me.

He called me several weeks later very mad, I guess on the way to the DMV he decided to declare a hundred dollars. He had to pay the additional tax and a fine/penalty.
 
RightCoastBias said:
Because ROLs don't make the DMV money.

When you fuck with their money, I bet they're a lot more effective.
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This. Lol. The meter maid will get you for that $100 parking ticket in 30 seconds or less.

Try calling for anything non violent and see how long they take to show up...
 
If transferred into your own name and taxes/ Registration paid, that is NOT considered a "sale" with the CA DMV. The above article refers to "flipping", meaning the seller is not a part of the chain of title.
 
People high fiving each other to support paying multiple taxation on the same item, it's a crazy world. I'd piss on these government documents if it meant them receiving one less dollar. Not to be confused with dodging payment, it's not about that at all, I just want them to receive less. The dmv doesn't broker the transaction and they already charge fees for the small amount they actually participate in, paying repetitive tax is such a scam.

Speaking of scams, the website in the OP looks ridiculous.
 
byke said:
People high fiving each other to support paying multiple taxation on the same item, it's a crazy world. I'd piss on these government documents if it meant them receiving one less dollar. Not to be confused with dodging payment, it's not about that at all, I just want them to receive less. The dmv doesn't broker the transaction and they already charge fees for the small amount they actually participate in, paying repetitive tax is such a scam.

Speaking of scams, the website in the OP looks ridiculous.
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If you disagree with the taxes protest them loudly and tell everyone why you refuse to pay. Lying on tax forms is chickenshit tax evasion, not an act of protest.
 
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And happily paying multiple taxes on the same item is bobbing on an extortionist's knob, not an act of ethics.
 
byke said:
And happily paying multiple taxes on the same item is bobbing on an extortionist's knob, not an act of ethics.
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Why?
It is a use tax, not a sales tax.

Disagreeing with the tax is fine, but equating lying on your taxes to an act of protest is lame.
 
I'm sure you can see the slippery slope and offensively comical logic behind a use tax?
 
Why do you have to have a dealer license to buy, flip and sell cars for profit? People do it for houses all the time, what makes vehicles different? Do they have some type of special training that makes them more qualified? Just curious.
 
jh2586 said:
Why do you have to have a dealer license to buy, flip and sell cars for profit? People do it for houses all the time, what makes vehicles different? Do they have some type of special training that makes them more qualified? Just curious.
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In CA, the DLR license allows a vehicle to be placed in inventory with no back fees accruing. With DLR plates, any vehicle can be driven without having to register the vehicle. In short, a dealer can pass a vehicle through inventory without having to pay tax/ title for each vehicle. The above article references private individuals doing the same thing which is verboten. So long as an individual transfers the vehicle into their name, all is good.
 
There is nothing wrong with selling your vehicle for more than what you paid. However, if you intend to sell ANY vehicle for the sole purpose of making a profit, you need a dealer license, even if it is one vehicle.

Obviously, this is nearly impossible to determine and chances are, if you flip a car or bike here and there, you probably won't get caught. However, do it enough and the DMV will likely come after your ass. And I don't think it's pretty.
 
To add to what AM said; the DMV won't be the ones sending you a notice, the BOE will..looking for tax dollars. The DMV has far far too many inspectors to chase around curbstoners.
 
True. I have heard of a couple curbstoners getting caught/busted cuz the neighbors got fed up and turned 'em in. Dunno what the fines were, but I heard it wasn't pretty.
 
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