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TN Used Car Sales Tax

Discussion in 'General Automotive' started by cfree5119, Feb 28, 2014.

  1. Feb 28, 2014 at 8:08 PM
    #1
    cfree5119

    cfree5119 [OP] Well-Known Member

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    Hey Guys...

    I just sold my 03 Tacoma not too long ago. I am using all those proceeds to purchase another vehicle. What is the best way to minimize the taxes on the new vehicle I purchase? Is there a way I can show the DMV that it was a trade or how would that work? THank you.
     
  2. Feb 28, 2014 at 8:42 PM
    #2
    ABA180

    ABA180 It burns when I pee....

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    Chris
    East Bridgewater MA
    Vehicle:
    2010 Tacoma Regular Cab Slider
    Kenwood CD, MTX/Jensen amps, Rockford/Polk speakers.
    In MA, you pay tax based on actual $$ paid or book, whichever is higher.

    If you buy from a dealer, it is based on actual $$ paid.

    If you trade directly, the amount of the trade is not taxed.
     
  3. Mar 1, 2014 at 1:29 AM
    #3
    Joe D

    Joe D Well-Known Member

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    Oxford, Mississippi
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    Nautical Blue 4Runner Limited 4x4 Model 8668
    I believe in TN you pay sales tax on the difference in the sale price of your old truck and the purchase price of your new truck. That said, again I believe, both transactions need to happen within 30 days of each other or you forfeit and pay on the total purchase price.

    I'd look it up to be safe. I'm just going from memory from certain states I've bought and sold vehicles.
     
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