My dad and I bought a car together a few months ago. The sales tax was paid off at that time. I was not there when he bought the car so my name is not on the title. Now we're transferring the title into my name and the DMV told me to indicate the car is a gift. Won't I have to pay gift tax on the car then? Is it better for him to sell me the car for like $100? By the way- the car is a 2006 new vehicle purchased at about $17,000.
2007-01-19 06:33:34 · 4 answers · asked by MK 2 in Cars & Transportation ➔ Buying & Selling
I live in Missouri
2007-01-19 06:51:57 · update #1
but I need to know about the federal gift tax.
2007-01-19 08:58:38 · update #2
Have him sell it to you for $1.00
2007-01-19 06:39:39 · answer #1 · answered by Chrissy 3 · 0⤊ 0⤋
There's no gift tax on a $17,000 gift. If your state doesn't charge sales tax on a gift transaction, just take the DMV's advice.
2007-01-19 14:40:15 · answer #2 · answered by Bostonian In MO 7 · 0⤊ 0⤋
I went with the "Gift" before. It worked.
2007-01-19 14:38:31 · answer #3 · answered by Better_than_you 3 · 0⤊ 0⤋
Do the gift thing. it works the best.
2007-01-19 15:03:41 · answer #4 · answered by timberrattler818 5 · 0⤊ 0⤋