Disreputable car dealer

[dkahlona]

What is the name of your state? NY

does a car dealer have the right to charge tax on a car rebate? Manufactures offered a $1500 rebate on the car. The dealer charged me $129. 65 on that rebate. We didn't even get to the tax on the entire transaction before I walked out.

I know that I have to pay taxes on a car, but on the rebate, as well? I need to know before I put this particular instance in my letter to the attorney general. Also, the lending institution noted that the dealer added a warranty (hyundai offers a free one) and added lo-jack (auto theft) for which I never requested. I am still attempting to buy a car, and I want to know what is taxable in a new car transaction. Any websites, if you can't be specific?

dk

 

[I AM ALWAYS LIABLE]

What is the name of your state? NY

does a car dealer have the right to charge tax on a car rebate? Manufactures offered a $1500 rebate on the car. The dealer charged me $129. 65 on that rebate. We didn't even get to the tax on the entire transaction before I walked out.

I know that I have to pay taxes on a car, but on the rebate, as well? I need to know before I put this particular instance in my letter to the attorney general. Also, the lending institution noted that the dealer added a warranty (hyundai offers a free one) and added lo-jack (auto theft) for which I never requested. I am still attempting to buy a car, and I want to know what is taxable in a new car transaction. Any websites, if you can't be specific?

dk

My response:

I don't have an answer for your main question; however, I had to chuckle when you said, "the dealer added a . . . lo-jack (auto theft)."

You have GOT to be kidding? I can't imagine ANYONE who would even want to buy a Hyundai, let alone steal one! When it comes to thieves, I'm sure that their friends would laugh that thief out of the "business" if he came back to the "chop shop" with a Hyundai!

Even thieves have reputations to protect!

IAAL

 

[dkahlona]

Thank you for your editorial, I am Liable. Please search deep to answer the questions. It doesn't matter if I tried to buy a Porsche; I have pressing questions for which that I would love to answers. I want to know law. I can't seem to locate that "law" on tax on rebate.

 

[ShyCat]

If you're thinking that the manufacturer's rebate is deducted from the sales price of the car for purposes of sales tax calculations, you're wrong. The rebate is treated the same as a cash downpayment, not as a price reduction. For example, if the price of the car is $10,000 and the rebate is $1500, leaving $8500 to be financed or paid by other means, the sales tax is still calculated on the $10,000 price, not the $8500, just the same as if you'd received a check for the rebate rather than applying it to the purchase.