State is asking why I sold my car so cheap. Very odd letter from DOT

[deltadart1]

What is the name of your state (only U.S. law)? Iowa

In the mail today I got a "different" kind of letter from the Iowa DOT. The first line there telling me they are conducting a statewide audit of motor vehicle transactions

to ensure the proper fee was collected for a new registration. The buyer listed the sale price of this vehicle as substantially less than market value.

Now they want me to answer a 4 question "Fee for New Registration Questionnaire"

1. Buyer's name and address? 2. What was the sale price of this vehicle? 3. Method of payment for the vehicle(check all that apply):Cash,Check/Money Order,Assumed Loan

4.Please provide information that describes the vehicle's condition or other factors that may have attributed to the selling price.

Then they want me to sign it and date it that I declare the above information is true and correct. They also said I have 10 days to fill out and sign the form. I sold this car last November. In my 40 years of driving and have sold maybe 12 cars in that time this is the first time I have ever received a letter like this. I can see right through this letter. Now I have nothing to hide. Ensure the proper fee was collected says it all. When they get to question 3 about the method of payment this is none of there business. I bought(from a dealer) and sold a car and sales tax was collected on both transactions. Am I wrong in thinking there overreaching here just a bit? Your thoughts. Thank You.

 

[swalsh411]

So complete what you feel comfortable disclosing and return the form. I am not aware of any legal obligation you have to help them with their "audit". (which sounds more like "fishing expedition" to me)

 

[OHRoadwarrior]

Presumably, you filled out some of this info on official forms during the transfer. They are now auditing the validity of the information presented. You can probably choose not to comply. They might choose to presume you provided fraudulent information and challenge you legally.

 

[TheGeekess]

What is the name of your state (only U.S. law)? Iowa

In the mail today I got a "different" kind of letter from the Iowa DOT. The first line there telling me they are conducting a statewide audit of motor vehicle transactions

to ensure the proper fee was collected for a new registration. The buyer listed the sale price of this vehicle as substantially less than market value.

Now they want me to answer a 4 question "Fee for New Registration Questionnaire"

1. Buyer's name and address? 2. What was the sale price of this vehicle? 3. Method of payment for the vehicle(check all that apply):Cash,Check/Money Order,Assumed Loan

4.Please provide information that describes the vehicle's condition or other factors that may have attributed to the selling price.

Then they want me to sign it and date it that I declare the above information is true and correct. They also said I have 10 days to fill out and sign the form. I sold this car last November. In my 40 years of driving and have sold maybe 12 cars in that time this is the first time I have ever received a letter like this. I can see right through this letter. Now I have nothing to hide. Ensure the proper fee was collected says it all. When they get to question 3 about the method of payment this is none of there business. I bought(from a dealer) and sold a car and sales tax was collected on both transactions. Am I wrong in thinking there overreaching here just a bit? Your thoughts. Thank You.

I would suggest you have a look at this page before you decide to 'ignore' this letter.
http://www.iowataxandtags.org/vehicle-registration/calculate-your-transfer-fee-credit/

 

[OHRoadwarrior]

Geekess you were "me too'd" that is not the state site.

 

[TheGeekess]

Geekess you were "me too'd" that is not the state site.

Yes it is. Many states are using .org domains.

 

[OHRoadwarrior]

http://www.iowadot.gov/mvd/index.htm

 

[deltadart1]

Question 3 is the question I feel they have gone to far. I was paid in cash. Don't I have the right to be paid in cash or is that something else they want to stick there nose into? Lets face it the state has crossed the line here. But I will do the right thing,fill out there form and make sure I do it in less than 10 days. Wonder what would happen if I took 11 days? As silly as it sounds,well that's exactly what it is,silly. But I will sit down over the weekend and fill out the form to keep everyone happy.

By the way where I think this "game" should have ended is I had a clear title that was in my name that showed I was the owner. The buyer and I went to the courthouse and filled out the title properly so he became the owner of the car. Signature,date of sale,done. So now do I have to worry about that car I sold in 2006 or does the state just make up the rules as they seem fit? Amazing. Remember this happened in Nov.2012

Update: Just went to the site (iowadot.gov/mvd)that OHRoadwarrior mentioned and scrolled down to "Selling to an individual who is not a licensed dealer". We did it exactly the way they said it should have been done. Like I said even went to the courthouse. But like I said I will fill out the form.