Bought an old volvo from a 90 year old friend that just drove it to church! Paid $400 but when I went to pay taxes and get new title, they told me I had to pay tax on it's presumptive value ($800). I said sales tax should be on the sale price, they laughed and told me that's what they all say. Is the presumptive value on the Tx DMV website real? Big fan, thanks for your clarity that goes with the honesty.
Lawson di Ransom Canyon
That is correct. If you buy from anyone other than a licensed dealer, you pay sales tax on the sale price or “standard presumptive value” whichever is higher. However, there are exceptions for cars over 25 years old.
You can get the details at txdmv.gov (whether it’s real or not, it’s what the state uses to determine your tax) 😉
