Selling my RV- tax questions

[Flyfisherman]

I am planning to sell my RV.  What are the tax implications?  The RV is currently titled in Oregon.  Are there other states that would be a better choice

[whj469]

I would think that someone would have to collect sales tax? When the new owner goes to get it titled it would seem that they would have to pay sales tax? What other tax implications would there be?

[Dutch_12078]

Where the buyer titles it is their responsibility, as are any tax issues such as sales tax and personal property taxes if they apply. 

[Barbaraok]

4 hours ago, Flyfisherman said:

I am planning to sell my RV.  What are the tax implications?  The RV is currently titled in Oregon.  Are there other states that would be a better choice

It's the buyer who has to title/registere it, in whatever state they declare.  Not your concern.

[TXiceman]

All you have to do is fill out the title, sign it and the necessary sales transfer for your state.  The buyer has to pay taxes and register in his state of choice.

Ken

[chirakawa]

4 hours ago, Flyfisherman said:

I am planning to sell my RV.  What are the tax implications?  The RV is currently titled in Oregon.  Are there other states that would be a better choice

I disagree with something that others here have stated.  The buyer does not have to title, register, or pay taxes on it.  And, if they don't, the vehicle will still be titled in your name.  You don't know what they're going use it for when they drive off.

For that reason, I suggest that you take steps to get it out of your name if possible.  I don't know about Oregon, but in Texas you just fill out a simple form stating that you sold it and no longer own it.

JMO

[Dutch_12078]

50 minutes ago, chirakawa said:

I disagree with something that others here have stated.  The buyer does not have to title, register, or pay taxes on it.  And, if they don't, the vehicle will still be titled in your name.  You don't know what they're going use it for when they drive off.

For that reason, I suggest that you take steps to get it out of your name if possible.  I don't know about Oregon, but in Texas you just fill out a simple form stating that you sold it and no longer own it.

JMO

I can be pretty sure the buyer isn't going to do much with the RV since it won't leave my possession with my registration tags on it. I'll also have a copy of the bill of sale with both our signatures.

[Kirk W]

1 hour ago, chirakawa said:

The buyer does not have to title, register, or pay taxes on it.  And, if they don't, the vehicle will still be titled in your name.  You don't know what they're going use it for when they drive off.

I don't know if it is the case in Oregon, but TX has a form that the seller can file which will remove the previous title and registration which then causes the buy to get ticketed if he should be stopped and avoids any liability or legal issues from the sale. I'd check to see if Oregon has a similar form. 

[Barbaraok]

We took the plates off the car when we traded it in.  Then we did the online form.

[sandsys]

When I sold my tent trailer to a local buyer I went with him to transfer the title. He was upset that I wouldn't lie about his purchase price to save him some tax money. When I left my conversion van to be sold by the conversion company, I took the plates with me knowing the company had temporary plates they could use during test drives. They then put a temporary permit on it so the buyer could license it in her home state.

Linda

Edited August 15, 2019 by sandsys

[rynosback]

I can tell you that MD does not care what they bought it for. They look up the book value and that is what you pay tax on. I believe transfers in direct family waves the sales tax. And condition of the item can change it when documented. But every state is different.

[chirakawa]

9 hours ago, Kirk W said:

I don't know if it is the case in Oregon, but TX has a form that the seller can file which will remove the previous title and registration which then causes the buy to get ticketed if he should be stopped and avoids any liability or legal issues from the sale. I'd check to see if Oregon has a similar form. 

Didn't I already state this?

9 hours ago, Dutch_12078 said:

I can be pretty sure the buyer isn't going to do much with the RV since it won't leave my possession with my registration tags on it. I'll also have a copy of the bill of sale with both our signatures.

Having a Bill of Sale is a good way to protect yourself.  Removing the plates does not remove your name from the title.  It would be good to have as much documentation as practical to verify that you sold the vehicle.

[Dutch_12078]

24 minutes ago, chirakawa said:

Didn't I already state this?

Having a Bill of Sale is a good way to protect yourself.  Removing the plates does not remove your name from the title.  It would be good to have as much documentation as practical to verify that you sold the vehicle.

The buyer isn't going to go very far without plates on the vehicle. And getting them requires transferring the title first. 

[chirakawa]

22 minutes ago, Dutch_12078 said:

The buyer isn't going to go very far without plates on the vehicle. And getting them requires transferring the title first. 

If that's what you want to believe.

[hamrs_62]

you can do a release of liability online on the dmv website, well at least in CA.

[Barbaraok]

Texas has the same thing.

 

[Dutch_12078]

2 hours ago, chirakawa said:

If that's what you want to believe.

I can't speak for all states, but in NY at least, you won't get tags without a corresponding title and a valid license. Then again, I've likely vetted my buyer as part of the payment process, so the likelihood of them using it for nefarious purposes are going to be pretty slim. I think we're really grabbing at straws though, since the occurrence of liability issues due to a failure to promptly transfer an RV title are most likely minuscule in relation to the number of transactions each year.

[Lou Schneider]

Nevada will issue plates and tags to new residents bringing in out of state vehicles without a title so they can be legally driven. But you can't sell it later ... the vehicle has to be scrapped for parts unless you can produce a title at the time of sale.

Edited August 15, 2019 by Lou Schneider

[Dutch_12078]

25 minutes ago, Lou Schneider said:

Nevada will issue plates and tags to new residents bringing in out of state vehicles without a title so they can be legally driven. But you can't sell it later ... the vehicle has to be scrapped for parts unless you can produce a title at the time of sale.

Are you saying NV requires no proof of ownership before issuing plates/tags?

[Lou Schneider]

Yes.  It's called Bonded Title registration.  Tou have to be a NV resident and the vehicle physically present in NV.

https://dmvnv.com/regbonded.htm

Edited August 15, 2019 by Lou Schneider

[Dutch_12078]

Just now, Lou Schneider said:

Yes.  Just a valid registration, NV drivers license and a local address.  They consider the title to be a seperate transaction from the registration.

The NV DMV site doesn't seem to agree:

https://dmvnv.com/nvregreq.htm

New Residents
Nevada Evidence of Insurance
License plates and current registration certificate
Title, if not held by lien holder
Nevada Emission Vehicle Inspection Report
(if needed)
VIN inspection
Application for Vehicle Registration (VP 222)
(If a third party registers the vehicle on behalf of the owner)
Vehicle must be registered within 30 days of the purchase. Sales taxes are not charged on "occasional" sales. The buyer must obtain insurance and a movement permit prior to driving the vehicle on any public street. The seller should remove the license plates and transfer or surrender them. Complete a Bill of Sale for your records.

New Nevada residents must obtain their driver license and vehicle registration within 30 days. See our New Resident Guide.

[Lou Schneider]

Note the "if not held by a leinholder" language. When I established residency in Pahrump two years ago I made a couple of trips to the local DMV office.  First I got my NV driver's license, then when it arrived in the mail I got NV insurance on my vehicles and went back to register my pickup, trailer and a car.

Each vehicle had to have it's VIN inspected at the DMV office so it took a couple of visits to get the everything done (truck and trailer first, then the car).  Along the way I misplaced my (clean) CA title for the car and the DMV agent said to bring it in anyway, I could leave the title in CA and get the NV registration without it. 

I did that and got the new NV registration and plates without transferring the title.

I found the CA title a couple of weeks later, took it to the DMV office and received a NV title by return mail.

Also see the NV DMV New Resident's Guide where it says new residents have the option of retaining their out of state title if it's held by a leinholder.

Edited August 15, 2019 by Lou Schneider

[Dutch_12078]

You also need the prior state registration and plates according to the list. You won't have those unless you legally own the vehicle. Those rules are for bringing in a vehicle that's already registered to you in another state, not the vehicle with no existing registration that we're discussing.

An unregistered vehicle would likely fall under the "Private Party Sales, Family Sales and Gifts" rules that require a "Title or Security Agreement from a Financial Institution" along with the other items. Short of forging documents, you're not going to register a vehicle in NV that's still titled to me.

[chirakawa]

2 hours ago, Dutch_12078 said:

I can't speak for all states, but in NY at least, you won't get tags without a corresponding title and a valid license. Then again, I've likely vetted my buyer as part of the payment process, so the likelihood of them using it for nefarious purposes are going to be pretty slim. I think we're really grabbing at straws though, since the occurrence of liability issues due to a failure to promptly transfer an RV title are most likely minuscule in relation to the number of transactions each year.

I agree that the chances of someone buying your RV to use it for illegal purposes are slim, so why keep the plates and make it so hard on the buyer?

Your suggestion that you keep the plates is not practical.  If i drive 1500 miles to look at your RV, then decide to buy it, I'm going to have a Bill of Sale, Title, and keys in my hand.  Do you really expect me to leave that vehicle in your driveway while I go back 1500 miles to secure a title and plates from my State, then drive another 3,000 miles round trip to pick up the RV?  Even if I could do the registration online and have the plates overnighted to me, why should I go to all that trouble and extra time, expense, and effort?

First of all, I just wouldn't deal with you.  But, if your RV is so special that I'm willing to buy it and relinquish the plates, I'd definitely have another set of plates to put on it to save me the hassle of another trip.  I wouldn't steal plates, but I might borrow a set or use a set off of another vehicle of mine if I had them.  Back in my more reckless days, I ran three different trailers off of one set of plates.  I might even just drive off without any plates and take my chances with the documentation already in my hands.

I just think there are better ways to protect yourself than keeping the plates.

[chirakawa]

2 hours ago, Dutch_12078 said:

I can't speak for all states, but in NY at least, you won't get tags without a corresponding title and a valid license.

That's interesting.  So, you have to have a driver's license in NY before you can get tags on a vehicle?  What would Mrs. Daisy do?