Dangermouse
06-20-2011, 05:21 PM
I had an experience today at the DMV that made me think about Barn Find Cars (or any other “ran-when-parked” type car) and the DMV, specifically the taxes due.
If you sell a Barn Find car, that hasn’t been registered (and therefore taxed) since say 1985, are you liable for outstanding ad-valorum taxes. Or is the buyer.
(My experience today: I bought a 1971 Triumph TR6 in 1995 in Alabama, registered it, and got a lifetime “Antique” tag, that meant I didn’t have to pay any more ad-valorum taxes. When I moved to GA in 2005, I left the car at a friend’s house in AL, and just recently brought it across to GA to work on/ restore (it’s a non-running project car). In Georgia, any motor vehicle must be registered and titled. But when I went to the DMV, they wanted to charge me back taxes and fees/penalties back to 1995, even though I didn’t live in the state back then – almost $2000. After talking to a supervisor they only charged me back taxes to when my latest GA drivers license was issued – in ’09.)
So if you sell a Barn Find Car to someone in-state, and the new owner registers it at the DMV, I think it is entirely possible that the DMV/Dept Revenue will send the Seller a tax bill for 25 years ad-valorum taxes. Anyone heard of this having been done?
If you sell a Barn Find car, that hasn’t been registered (and therefore taxed) since say 1985, are you liable for outstanding ad-valorum taxes. Or is the buyer.
(My experience today: I bought a 1971 Triumph TR6 in 1995 in Alabama, registered it, and got a lifetime “Antique” tag, that meant I didn’t have to pay any more ad-valorum taxes. When I moved to GA in 2005, I left the car at a friend’s house in AL, and just recently brought it across to GA to work on/ restore (it’s a non-running project car). In Georgia, any motor vehicle must be registered and titled. But when I went to the DMV, they wanted to charge me back taxes and fees/penalties back to 1995, even though I didn’t live in the state back then – almost $2000. After talking to a supervisor they only charged me back taxes to when my latest GA drivers license was issued – in ’09.)
So if you sell a Barn Find Car to someone in-state, and the new owner registers it at the DMV, I think it is entirely possible that the DMV/Dept Revenue will send the Seller a tax bill for 25 years ad-valorum taxes. Anyone heard of this having been done?