My dad just won a huge drawing in a military sponsored event which is played online the grand prize was a brand new 2007 saab. This car is 35,000 bare, but the car comes with everything making it 43,000. (This came at a great time our car just broke down to the point of no return) Now the bad part being in the military we do not make a whole lot of money. The government said because this car is a gift we would have to pay roughly $12,900 in taxes which we cannot afford but we need a car. So were forced to sell this brand new beautiful car. I think its ridiculous that the government says here a chance to win this car and then tax the crap out of it....any other opinions?
2007-09-07 02:55:37 · 6 answers · asked by Yankeefan1986 3 in Politics & Government ➔ Government
There are only a few certain things in life and taxes are one of them. I understand why this is such a pain. You get taxed both when you receive money and when you spend it. I think that's double dipping.
2007-09-07 03:02:30 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Look at it this way, your father recieved a $43,000 car for $12,900. That is a sweet deal. Borrow the 12,000 + and pay the taxes and drive the hew car. If you sell it, you will still owe the tax.
2007-09-07 10:03:11 · answer #2 · answered by fangtaiyang 7 · 0⤊ 0⤋
They collect sales tax and income tax on it. He could have put off the income tax till April and the sales tax he is going to pay on any car he gets. Not sure what your paying for sales tax but at 6% that would be $2580.00
2007-09-07 10:07:57 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Why should it matter if you "won" it or earned it
In reality it is income
income is taxable
we have gazillionaires in this country that don't want to pay their fair share of taxes on stock market and real estate gains too, but in reality it is INCOME----why should some poor slob have to pay taxes on his earnings from his minimum wage job and the rich not pay taxes on the money their money earns?
2007-09-07 10:09:17 · answer #4 · answered by Anonymous · 0⤊ 0⤋
The easiest thing do do, is make a loan at a bank, using the car as collateral.
With that value, it should be a snap to borrow $12,900.00.
2007-09-07 10:04:46 · answer #5 · answered by ed 7 · 0⤊ 0⤋
What is really outrageous is they want to tax everybodys winnings.....yet want to eliminate the estate taxes!Listen when they do talk about it which is hardly ever in public........Romney is all for it because he has more then a billion to leave his kids!
2007-09-07 10:25:45 · answer #6 · answered by honestamerican 7 · 0⤊ 0⤋