Texas ASVE Title and the VTR-63 Form?

[shark92651]

I'm working on this process now to title/register my newly completed Factory Five MK4. On the Application for Texas Title form 130-U there is a section to calculate tax based on sale price, less trade in, 6.25% tax rate, etc... I would rather avoid the sales tax. Should I just leave all that blank and explain that I purchased all the components myself. I figured I could tell them I declared as "use tax" on my tax forms. What do you think?

[bwcobra15]

Originally Posted by shark92651

I'm working on this process now to title/register my newly completed Factory Five MK4. On the Application for Texas Title form 130-U there is a section to calculate tax based on sale price, less trade in, 6.25% tax rate, etc... I would rather avoid the sales tax. Should I just leave all that blank and explain that I purchased all the components myself. I figured I could tell them I declared as "use tax" on my tax forms. What do you think?

In box 37 of form 130-U, I checked the box that reads: "Exemption claimed under the Motor Vehicle Sales and Use Tax Law because:"

and then I wrote in "VEHICLE IS ASSEMBLED FROM ALL NEW COMPONENTS"

in box 20 for Previous Owner Name I put "ASSEMBLED"

on the signature line for Seller(s) Printed Name I put "ASSEMBLED"

hope that helps.

[SSSammy]

Bob is exactly correct. A careful reading of the Motor Vehicle Tax code will confirm that the *first* time a new Assembled Vehicle is titled/registered, no tax is due. Subsequent sales of this car will be taxable.

The presumption on the part of the state is that you paid any sales tax due on the components when you purchased them. FFR may decide to charge customers tax on the kits at some point, but I have not heard of it.

You're not being sneaky, you do not owe sales tax on this kit car. If the county tries to charge you tax, ask for the supervisor.

Good luck!
Sam

[RockBit]

Originally Posted by SSSammy

A careful reading of the Motor Vehicle Tax code will confirm that the *first* time a new Assembled Vehicle is titled/registered, no tax is due. Subsequent sales of this car will be taxable.

Sam

I wish I had known that when I titled my car. The supervisor asked me if I had paid sales tax on the purchase and I answered honestly with a no. I then got a hickey for a few thousand.

[shark92651]

Originally Posted by bwcobra15

In box 37 of form 130-U, I checked the box that reads: "Exemption claimed under the Motor Vehicle Sales and Use Tax Law because:"

and then I wrote in "VEHICLE IS ASSEMBLED FROM ALL NEW COMPONENTS"

in box 20 for Previous Owner Name I put "ASSEMBLED"

on the signature line for Seller(s) Printed Name I put "ASSEMBLED"

hope that helps.

Thanks I had missed that checkbox. I will reprint the form with these changes.