# Sales tax when Trading in a Car
**URL:** https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423
**Category:** NYSpeed Automotive
**Created:** [September 16, 2005, 7:28am UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423 "2005-09-16T07:28:22Z")
**Posts on this page:** 9
**Page:** 1
### Author:  [@POOPRA](https://forums.speedlife.net/u/POOPRA)
#### Post date: [September 16, 2005, 7:28am UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/1 "2005-09-16T07:28:22Z")
So say my car is worth 10 grand on a trade, and I am buying a car for 19 K would I only pay tax on the 9 grand or the entire 19K? What about if I buy the car out of state, how do they work that if I am buying from a dealer???
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### Author:  [@kingsario](https://forums.speedlife.net/u/kingsario)
#### Post date: [September 16, 2005, 7:36am UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/2 "2005-09-16T07:36:37Z")
you pay tax on the difference which in your case $9k. Also you don’t pay tax until you register the car in NY. The dealer will put you on a intransit permit.
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### Author:  [@psphinx81](https://forums.speedlife.net/u/psphinx81)
#### Post date: [September 16, 2005, 7:42am UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/3 "2005-09-16T07:42:36Z")
yes u will only pay the tax on the 9k instead on the 19k… sario hit it on the head.
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### Author:  [@HotRodKid](https://forums.speedlife.net/u/HotRodKid)
#### Post date: [September 16, 2005, 8:47am UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/4 "2005-09-16T08:47:55Z")
are there any ways to register the car elsewhere and pay their tax instead of our tax maybe ?
like if you have an uncle down in XXX and you buy from the ealer around the corner from him and use his address ?
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### Author:  [@kingsario](https://forums.speedlife.net/u/kingsario)
#### Post date: [September 16, 2005, 8:58am UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/5 "2005-09-16T08:58:48Z")
As long as its registered in the state you are buying it from you pay there tax, as long as there is a permanant address. Now in NY if you buy a car here and register it in another state you pay NY and tax in the state you are reg. it to. Then NYS refunds you the tax at a later date :tdown: NYS SUCKKKKSSSS BALLZZZZZ. There cracking down on buying here and paying tax elsewhere. :gay2: I love buying cars from private parties and getting a receipt that says “bought for $600” :snky:
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### Author:  [@halas](https://forums.speedlife.net/u/halas)
#### Post date: [September 16, 2005, 2:40pm UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/6 "2005-09-16T14:40:07Z")
> [@kingsario](#):
>
> I love buying cars from private parties and getting a receipt that says “bought for $600” :snky:
LOL, NYS is really cracking down on that too. I just got a letter from the NYS Dept. of Taxation & Finance asking why I sold my truck so far below fair market value and they wanted a whole slue of bank statements, reciepts, etc… They suck ass!
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### Author:  [@Diesel](https://forums.speedlife.net/u/Diesel)
#### Post date: [September 16, 2005, 2:54pm UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/7 "2005-09-16T14:54:49Z")
I always cover my ass by giving the buyer of my car two receipts. One that would say I received $600 for whatever car then another with the balance paid in full. If they want to show the low one, go for it. But I think I would be in the clear that way.
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### Author:  [@RacerX](https://forums.speedlife.net/u/RacerX)
#### Post date: [September 16, 2005, 3:40pm UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/8 "2005-09-16T15:40:44Z")
> [@Diesel](#):
>
> I always cover my ass by giving the buyer of my car two receipts. One that would say I received $600 for whatever car then another with the balance paid in full. If they want to show the low one, go for it. But I think I would be in the clear that way.
That’s probably worse you’re leaving a paper trail of fraud. If the person gets scared and says he actually paid the full amount your ass would get burned w/ your signature to prove it.
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### Author:  [@Diesel](https://forums.speedlife.net/u/Diesel)
#### Post date: [September 16, 2005, 3:45pm UTC](https://forums.speedlife.net/t/sales-tax-when-trading-in-a-car/2423/9 "2005-09-16T15:45:32Z")
No, there are two receipts which total the full amount. As if they gave me a downpayment say 9/16 and paid the rest in full 9/17. This way I would have the full amount accounted for.