sales tax info (1 Viewer)

[REKCUT]

Looking for some information on how Kansas handles tax credits on car purchases. My daughter lives in olathe and i trading in her rav 4 for a new 4runner at a toyota dealership in kansas. Unlike missour the dealer is telling her that if she sells her car outright instead of trading it in she will lose the tax credit. Anyone know if this is correct or not?? Appreciate any help i can get

 

[ccasteel]

It is correct. If she trades a car in, she only has to pay taxes on the difference. They do not recognize the difference if she sells it outright and will charge sales tax on the entire purchase.

 

[REKCUT]

Thanks, that's a part of living in Kansas that sucks

 

[2fpower]

Most dealers will be the "middle man" for a couple hundred dollars. Basically you walk in to buy that new car, already have someone that will buy your old car, they will take the car in on trade, then "sell" the old one to the other person at the same time, and basically charge some money for doing the paperwork.

 

[RKTINC]

Yes you pay on the trade difference.