Dealer "forgot" to charge sales tax on sale?

Definitely not correct , Texas, New Jersey, Ohio, and Illinois are the only states that sales tax is paid up front, otherwise all other states tax is paid each month on your payment, that is why when you see adds on TV it shows payment plus tax . The whole idea behind leasing is you only pay the depreciation plus rent charge which is equal to money factory aka interest. The residual is the balance due after the original lease term. It does not get charged tax untill you buy out the lease . If you don't buy out the lease you only pay sales tax on the portion you use the vehicle for and the residual doesn't get charged the tax.

 

how much in taxes does he claim you owe?

 

Ha that sucks, should have kept your mouth shut on those other purchases.

In MA you pay tax when you register so I don't know if this could happen in MA but that doesn't matter. I'd still ride it out and if the state calls then I'd pay but no way would I pay the dealer another dime.

 

OP find your lease contract and see how much tax they charged when you leased it. Maybe you already paid tax then on whole truck. I would think that tax on price agreed to buy it out is still you responsibility. Dealer is just collecting and giving to state. Now since they pun N/A in tax line try to play dumb and claim that price negotiated had everything included. Tell him to adjust sale price to get his tax.

 

The taxes may catch up with you eventually but I wouldn’t give the dealer anymore money.

 

A few weeks after I purchased my 2012, I got a check in the mail for $236 from the dealership. Said they over charged me on taxes.

About a week later they sent me another check for $60 saying another overcharge for something else, cant remember what that was for.

Thought it was strange, but good on them for making it right I guess.

 

Do you think the dealership is really losing any money? How many times have they overcharged some little old lady for a service she didnt need, or a kid buying their first car not knowing the ins and outs of how to negotiate. I dont feel bad if the dealer has to eat this cost. We all know an air filter does not costs 40 dollars and it sure as hell does not take a half hour of labor to install, but how many people have gotten taken on that? I hope in this case the dealer already paid the taxes and now they are just trying to recoup. Let them eat that. So the finance guy made a mistake, o.k., how many times has he got extra money from someone for some B.S. mop and glo package, or adjusted the numbers in the dealers favor? We're likely talking less than 2500 dollars here, he won't lose his job over it, they will make it up by scamming someone else. I think OP agrees if the tax needs to be paid to the State, he will do so through the DMV. If however, the dealership already paid the state, they can enjoy the bag of dicks they are about to feast upon.

 

In the meantime, I would read every line of the fine print of your contract.

 

The sale was consummated. It's the dealer's responsibility to remit sales tax to the state regardless of whether they collected it from the buyer. Since this is a purchase, and there is really no further interaction with the dealer at this point, I'd put them on ignore.

 

The sales agreement is with the dealer. Call your state and discuss it with them. Even if you went to court I dont see you winning this. They forgot to collect on behalf of the state not the dealer.

Offer to split the diff or be ready to represent yourself or pay a retainer for an atty.

 

So...update us, what happened?

 

I have not heard from them today and really have no interest in dealing with them. I will tell them I will deal with the state for any unpaid taxes.

 

Where I live I'm pretty sure when I go to get my vehicle registered/plates they see if I paid sales tax on the vehicle, because if not, I have to pay it then. Just like buying a used car, it's the buyers responsibility to pay the taxes. I do agree that knowing whether the sales tax was paid to the local government is important as others said maybe they are just trying to compensate their own books. If nothing else, I would want to pay taxes to the government directly, not the dealership. Also, I wonder if it happens a lot, that seems like a pretty sweet sales tactic - just write NA on the sales tax line. I actually had a somewhat kinda related issue a while back when I bought my wifes Jeep out of state. Dealer mailed me a check to pay the taxes, wrote it out to the wrong state A while after that they "accidently" randomly withdrew my $6k down payment out of my bank account again...CASH!OUT.OF.MY.BANK.ACCOUNT!$6k! That was an experience.

 

this.

 

Not a lawyer but have dealt with many contracts during my career, both working for a large company and owning and operating a business for 20+ years.

If we simply want to look at this as a binding contract (not sure it is) then it seems to me what we have here would be considered a “Mutual Mistake”. Basically meaning that neither party noticed the error, but did not intend for it to be written the way it was. A Mutual Mistake is usually corrected by reforming the contract to reflect the parties true intentions. The reasoning being that an otherwise mutual oral agreement was erroneously put into writing.

I think you're going to end up paying the taxes.

 

Did you contact the PENNDOT and ask them? --Trust me they won't "bite" and you will get the true answer. If you don't want to talk to them (State) -I guess you can just wait for any surprise bill to come your way or maybe not!

 

wow so many morons in here talking out of their ass, OP don't take legal advice from people who ADMITTEDLY don't know what they're talking about.

You all are so self important you literally give advice and then say "but I have no idea what I'm talking about" , like why not just shut up then??

Every sales contract in the US has a box called "seller's right to cancel", OP look for it on your contract guaranteed you signed. If you don't pay the taxes you LEGALLY owe they'll send you a letter of recession and if you don't bring the car back they can legally repo it, charge you for the tow AND for wear and tear past the date you received the letter.

Don't be an idiot, pay your taxes. Dealership might suck for sure but dodging taxes is NOT how you get back at them.

Sincerely,
The guy who actually knows how this works (10 years in the car business)

 

had a similar situation with a car i bought from a dealer. except it was finance related. i explained that i would buy the car but at the premium interest rate at the time through a credit union i was a member of(and they dealt with that particular credit union). they sent all the paperwork thought and came back with the approval at 1.749% and i did all the paperwork and bought the car. 4-5 weeks later i get a call from the dealership that i didn't qualify for the interest rate and they would have to change the terms of the financing and i would have to redo everything at the current rate of 2.99(or something like that, promotion expired). I said "no" we have a signed agreement. but, they said that there is a clause in the agreement for stuff like this and i would have to abide by the new terms. I told them they could have the car back... i wasn't going to agree to this. i told them where the car was, and that they could come pick it up, and to bring me a bank check for my down payment.

In the end, i called up my credit union that i use all the time and they approved me instantly for the promo rate, and sent them a check.

So, be sure there isnt a clause in the contract that allows them to make adjustments to the agreement you signed.

 

I believe this is the clause i was referring to.

 

Lol. How dare you.


If someone asks me a legal question about trucks on my internet, I reserve the right to respond with my best guess about their legal situation while I’m eating tater tots at high noon in my PJ’s.