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2017 Chevy Colorado Z71 Extended Cab 4WD Summit White
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And I thought Chicago only had a county tax , but it is 3/4 %. Crooks!
I luck out here in New York, My county this is the breakdown.
State4%
County3.75%
MTA0.375%

So a total Sales Tax Rate in my county of 8.125%

And the MTA tax is because I am in 1 of 7 surrounding counties to the Craphole they call New York City.

And we don't have a Mass Transit System in my county, One train line, not run by the MTA and no bus service by them.
But they get to run the State
 

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If there are provisions that they can change the terms without prior knowledge, then you would be given the right to cancel the contract within a specific timeframe without penalty.
 

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The section on taxes says the buyer has to pay them regardless of who has tax responsibility. I'm no contract expert, but that appears to affirm that you owe them.
 

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Discussion Starter #127
The section on taxes says the buyer has to pay them regardless of who has tax responsibility. I'm no contract expert, but that appears to affirm that you owe them.
it says at the top these things are included on the reverse side. Taxes are included...they just put the wrong amount. I paid what they asked and agreed upon. We'll see what happens.
 

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2017 Chevy Colorado Z71 Extended Cab 4WD Summit White
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The section on taxes says the buyer has to pay them regardless of who has tax responsibility. I'm no contract expert, but that appears to affirm that you owe them.
Well this the past about taxes. Taxes the Government will not care about the contract. The Buyer (New Owner) will have the legal responsibility to pay the taxes to them. If not paid, they could go as far as seizing the vehicle.

Dealer Scam 3.jpeg
 

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2017 Canyon AT 4x4 2.8L CCLB Dark Slate Metallic
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The section on taxes says the buyer has to pay them regardless of who has tax responsibility. I'm no contract expert, but that appears to affirm that you owe them.
What it really says:

The Total Taxable Price for the Vehicle ordered does not include sales, use, excise, or other taxes (Federal, State or Local).
405110


Buyer assumes and agrees to pay, unless prohibited by law, any such taxes imposed on or applicable to the transaction covered by this Order, regardless of which party may have primary tax liability.
 

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Well this the past about taxes. Taxes the Government will not care about the contract. The Buyer (New Owner) will have the legal responsibility to pay the taxes to them. If not paid, they could go as far as seizing the vehicle.

View attachment 405109
Now I have heard of vehicle seizures and forfeitures for unpaid income taxes or criminal investigations, but I haven't ever heard of a vehicle being seized over a sales tax dispute...probably because you can't get the title and registration without first paying the sales tax?
 

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2017 Chevy Colorado Z71 Extended Cab 4WD Summit White
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Think I found the issue... And it with the trade in... On a used vehicle....

21 Does a trade-in reduce the price when calculating sales or use tax?

YESNO
If a motor vehicle is traded for a new motor vehicle, all-purpose vehicle or off-highway motorcycle in a purchase or lease agreement.If a motor vehicle is traded for a used motor vehicle, all-purpose vehicle or off-highway motorcycle in a purchase or lease agreement.


Motor Vehicle Taxability - Dealers
 

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Think I found the issue... And it with the trade in... On a used vehicle....

21 Does a trade-in reduce the price when calculating sales or use tax?

YESNO
If a motor vehicle is traded for a new motor vehicle, all-purpose vehicle or off-highway motorcycle in a purchase or lease agreement.If a motor vehicle is traded for a used motor vehicle, all-purpose vehicle or off-highway motorcycle in a purchase or lease agreement.


Motor Vehicle Taxability - Dealers
that was so 4 days and 4 pages ago
A trade-in allowance reduces the price only if you are purchasing a:
  1. New motor vehicle, all-purpose vehicle or off-highway motorcycle; OR
This is where the dealer made their mistake. They calculated taxes for a new vehicle instead of a used one.
 

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that was so 4 days and 4 pages ago
Yes people said what they believed what it was.. I at least found the law. Took a bunch of research to do... But I found it. So, that is the proof of the statement.
 

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Yes people said what they believed what it was.. I at least found the law. Took a bunch of research to do... But I found it. So, that is the proof of the statement.
You already found it 4 days ago, in the Q&A section...that's why I quoted your post 4 days ago. It says the same thing in less words.
 

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I’d start out with you have a signed contract. If they dig in, then say you’ll cancel the deal, but you’re going to inspect it with a fine-toothed comb, and it was absolutely perfect when it was handed over. You could also say you’re going to contact your lawyer to review your mutually signed agreement, and see if that gets a rise.

Or, note the signed agreement, and propose a split, and $500 credit in service dept.
 

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It can't hurt to speak to an attorney. They should be able to tell you right off the bat what your options are.
Everyone here has had different experiences in different States, so you can't go by us, call an attorney. It may not cost you anything for a professional opinion over the phone. Then go from there.
 

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Id consider it a scam if they made the deal to you with an agreed-upon monthly payment......... that they adjusted the taxes to fit a specific number. Then, after the sale, tell you that you owe more.

I dont know what the outcome is, legally but Id definitely say they are trying to pull a fast one on you.
I kind of agree with this. First we agree on the price of the vehicle. Then, when considering financing, I always have a limit to what I want my monthly payment to be. I ask them to give me a monthly payment amount under different finance or lease scenarios. The sale is based on that.
I don't care if they have to fudge their in house numbers to meet that. That's their problem.
 

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I posted this on the FB Chevy Colorado/GMC Canyon page but....Last week I traded a truck in for a used Colorado At an average sized Chevrolet dealership. Took a loan out, agreed on a price, signed the contract and out the door I went. I get a call from the dealership yesterday...they made an error calculating the taxes and I owe another 2000.00. Until they get their money, they are refusing to title and register my truck.
I told them that they'll be eating their mistake, not me. We both signed the purchase order agreement where we agreed on a net price (financed).

I liken it to this...if a company sells you a bottle of RainX for example, you're not paying the government the taxes, your paying the company who in turns pays the taxes. If I walk off with a bottle of RainX and I'm not charged taxes, the government doesn't come after me, they come after the company for the taxes off the price I paid for it.

Anyone who works at a dealership want to confirm! Here is an interesting article that confirms my suspicions. Can a Dealership Charge Motor Vehicle Tax After Car Purchase? View attachment 404804
It looks like they originally charged sales tax on the difference in the sale price and trade in allowance (correct) and now they're trying to turn around and charge sales tax on the amount financed (incorrect) because you had a previous loan balance. It doesn't matter that you still owed on the traded vehicle as long as the trade in allowance was more than the loan balance. Sales tax is based on the difference between the sale price and the trade in allowance, period. I think someone at the dealership is confused, so I would definitely go down and talk to the FINANCE manager.
 

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Who knows... maybe the financial person wrote it up that way to arrive at certain final numbers of the sale price or monthly payment. Then someone on top saw it later and freaked out. Or, it could have just been a mistake. But, really? These people do this every day. They would have to be super green to make a blunder like that.
 

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I suspect they're bluffing. Call them on it. Tell them to complete the contract, and can report whatever they want to the state, just as you can and will do the following if you are not satisfied with the conclusion,
1. File a claim for fraudulently breaking the contract. They can report you to Ohio, they can take you to court to try to claim the taxes, but they cannot legally attempt to collect by seizing your property - this is akin to saying you aren't returning your neighbors lawnmower you borrowed because you think he owes you $10. This bypasses the issue of who owes the taxes and pivots to their illegal method of trying to force repayment.
2. While at the dealership call the police and claim they are stealing your property. When the police arrive, use the lawnmower example, don't follow claims over who owns the taxes, focus entirely on their illegal seizing of your property, the issue of taxes is a separate issue from their other illegal activities. Note item 5 below, nd that you will file separate claims with the police for items 2, 3, 4, and 5. Have all documents ready including the loan invoice to show the contract was executed. Here you are again taking it away from the dispute over who owes the taxes.
3. File a claim for fraudulently misrepresenting the actual cost of the vehicle.
4. Report their fraudulent over-tax calculation and pocketing of the difference
on every trade in contract they have ever written - all of their calculations of tax on trade-ins is fraudulently collected. From the Ohio Department of taxation (link below):
Item 21 - a trade in reduces the tax base (makes sense, otherwise they would be taxing the same transfer twice when they resell your trade in). They are collecting tax on the trade in value and pocketing the excess.
5. Report their illegal failure to collect sales tax at the time of sale. All businesses are required to collect this. This is why I am confident thy are bluffing. Even if you are on the hook after the same to Ohio for unpaid taxes, that doesn't equate to you paying the dealer the taxes.
6. File suit for any loss of use of the vehicle because you can't license it as a result of them not honoring the contract.
7. Report their illegal actions to the the manufacturer.

Claim you have contacted new outlets (list a common investigative reporting station in your area) and they have expressed interest in pursuing.
Doesn't matter if you are lying here.

Notify in person and by e-mail, and draw this step to a close by giving end of day notice in person and 24 hours notice in e-mail, and begin to follow through.

Also - when you go in, ask if they have the registration on site, and if they don't say you won't discuss until they can complete full settlement of the dispute at the time. This is prep for using option 2.

All you need to do is make the cost of their continued illegal actions more than $2,000.
 
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