Do you have to pay taxes if you sell your car to someone?

Question

So if you get say 15,000 dollars from selling your car do you have to pay taxes on that?

Thats what I figured but had to make sure. You never know what they will tax you on next.

Answer 1

Regardless of whether or not the car was used for business, you would have to pay income tax on the proceeds IF you had a gain on the sale. If you sold it for less than you paid for it then you would not be able to claim the loss.

Gains on personal property is taxable, losses are not deductible.

The payment of sales tax on the purchase has no bearing on the taxability on the sale.

Answer 2

If you used the car for personal purposes only you don't pay any taxes on selling it to someone. But if you did use the car for business purposes, then you would have a tax liability for the business use of the car. Hopefully that is not the case, but if it is feel free to add me as a contact and I can try and help you out in that regard.

Answer 3

I'm assuming this is your personal car, not something you used for business and depreciated. You'd owe taxes only if you made a profit on it. If you bought it for $10,000 and sold it for $15,000, you'd owe taxes. But unless it's some kind of collector car, you probably paid more for it than you sold it for, so there's no tax on the sale and you don't report it anywhere on your tax return.

Answer 4

This depends on how you got the car:
If you bought the car for less than $15,000 and more than $0, then you have to pay taxes on your profit, not the entire $15,000.
If you bought the car for more than $15,000, no.
If you stole the car, yes.
If you built the car yourself, you pay tax on $15,000 minus the cost of the materials, parts, supplies, etc., that you used or purchased.

Answer 5

The absolutely free reverse vin check sites generally provide fake information. To get real information, money will have to be paid. The free searches provide fake information so they can get your email address to send spam.

Stay away from shady reverse vin check sites, most likely you won't get any information after you make the payment. Not to mention you won't get a report and you won't get an answer if you try to call for a refund. Stick with a reputable reverse vin check site like http://www.reversevincheck.net that has been around since 1995.

Answer 6

You already paid taxes when you purchased it, so no. However, the person buying the car from you has to pay taxes on it. This has to be done when you transfer the title.

Answer 7

i sell car

Answer 8

do you have to pay taxes on the sale of park model trailer and do not own the land it is on.

Answer 9

You do but only if you make a profit.

Answer 10

no you paid the taxes when you bought it.