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We have all seen Ebay adds offering the right to buy the car. Each of the adds include wording that "because of the rules, the car must be delivered in the name of the buyer, then resold." This automatically forces the taxes to be paid twice in most states, which makes it a more difficult deal if someone really needs to get rid of their car for job loss, family, etc....

After seeing the North Carolina situation, I got to thinking about things & have this question? If in theory, you sell the right to buy the car, then you meet the buyer at the dealership when the car is delivered, then you choose to back out of the deal, with the dealers cooperation, the new buyer could then buy directly from the dealer, and avoid paying taxes twice.

It may require dealer participation, but then again, why would the dealer car who buys the car as long as they get paid & have happy customer? No rules have been broken by anyone & several thousand dollars can be used for families rather than taxes - what am I missing???

USA
 

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Only thing missing is that the dealer loses one car from regular allocation. If they have not presold all then probably not a problem. Even if "right" is not sold but is just walked away from then the dealer has the opportunity to move any of his list up in order, or to sell to next person through the door.
 

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With regard to taxes, it really depends on your state. If you reside in a reciprocating state, you only pay taxes once. If you do not, ask the seller if his/her state refunds taxes if the car was purchase with the intent to sell it. If the state provides a refund on the original purchase (even a percentage), then you know what to do.

Note: Most states that are not reciprocating states allow a refund of DMV fees only if the vehicle is sold in a specified period of time. The amount is pro-rated.

If you were purchasing a car from a private seller and the seller wants to charge taxes, ask for a Bill of Sale that shows the sale price and the tax amount. For all states, the document has to be itemized. That is, everything is broken down from sale price, to taxes, to fees.

I purchased a car over the Internet before and had it shipped to my home. The dealer charged tax. However, because my state is a reciprocating state, I only had to pay the difference in tax because my tax rate was higher than the state the vehicle was purchased from.

When in doubt, contact the state and DMV of both your state and the seller's to be certain.
 

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The best idea I've seen on the forum for handling this is asking the title to be put in both the original buyers and your name jointly. You could then have the original buyer's (the 1st 1,000 recipient) name removed from the contract without it being a taxable event. However, if it's out of state you will probably have to pay the 1st year registration to both the state you buy it in and CA (your state). The only catch I'm not sure of is if GM will allow anyone's name other than the 1st 1,000 recipient to be put on the original title. I would certainly hope they would, for example, I plan to put mine in my businesses name.
 

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USA Millionaire said:
If in theory, you sell the right to buy the car, then you meet the buyer at the dealership when the car is delivered, then you choose to back out of the deal, with the dealers cooperation, the new buyer could then buy directly from the dealer, and avoid paying taxes twice.
USA
The rules state that if a First 1000 buyer wishes to back out of the deal after it arrives at the dealer, it reverts back to the dealer to do as they choose ... you would no longer have any say in what happens to the car or who they should sell it to. If you were to back out of your First 1000 car, a good dealer would most likely offer the car to his other waitlisted customers to see if they wanted it and chances are it would be snapped up. Otherwise, he could just as easily keep it on display at his dealership for promotional purposes until he decided to sell it. According to the rules, the car is yours to purchase, but if you decide not to follow through, you can't just transfer the option to somebody else. Hence, selling the option to buy the car is not really an option.
 

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USA Millionaire said:
We have all seen Ebay adds offering the right to buy the car. Each of the adds include wording that "because of the rules, the car must be delivered in the name of the buyer, then resold." This automatically forces the taxes to be paid twice in most states, which makes it a more difficult deal if someone really needs to get rid of their car for job loss, family, etc....

After seeing the North Carolina situation, I got to thinking about things & have this question? If in theory, you sell the right to buy the car, then you meet the buyer at the dealership when the car is delivered, then you choose to back out of the deal, with the dealers cooperation, the new buyer could then buy directly from the dealer, and avoid paying taxes twice.

It may require dealer participation, but then again, why would the dealer car who buys the car as long as they get paid & have happy customer? No rules have been broken by anyone & several thousand dollars can be used for families rather than taxes - what am I missing???

USA
Anyone know a dealer on earth that would sell the car to someone on the wait list? Most of these sharks, I mean pirahna, I mean dealers would tack on about $5,000 and would place the car on the showroom floor for the first sucker, I mean customer that would pay the mark-up. :brentil:
 

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The great part of the way the recent eBay listings word things, the ebay buyer pays everything. The eBay seller pays nothing. (Ok he pays the eBay fees)

The eBay buyer pays the dealership for the car and any document fees, pays the original buyer's sales tax, pays the original buyer's title fees and pays the original buyer "lottery winnings". And of course the eBay buyer can't use financing becasue they will not be getting title for their money yet.

Then the eBay buyer pays the cost to get the car where they are. Wait out the original buyer's state title production time (here in Massachusetts that could be more then a month).

Of course the entire time they are waiting, they can do nothing with the Solstice and actually have nothing to prove it is theirs becuase since the original buyer never had title they can't sell it.

When the title finally comes to the original buyer, they will forward it to the eBay buyer. Wait the original buyer just paid for a stamp.

Then the eBay buyer gets the right to pay sales tax in his state and another title fee.

And they wonder why these eBay sales aren't flying. :lol:
 

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Given what the original posting stated, a dealer could work a deal with the first 1000 buyer to sell the car directly to a buyer that the original first 1000 buyer finds (Ebay, etc). Since the car is moved to the dealers allocation and sold by the dealer they would expect a good percentage of whatever deal the first 1000 buyer worked out.

It looks like a loophole the dealer and original first 1000 buyer could exploit for both their benefit.

Example: A first 1000 buyer finds a EBAY buyer for $3000 over cost of purchase (fees). The dealer places the car into his normal allocation then sells it to the buyer brought in. Sales taxes and fees are charge only once, to the new buyer. The $3000 profit is then divided between the orginal first 1000 buyer and dealer. Again, this would take a dealer willing to do this type of transaction. Is it worth the dealers time?
 

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hmm...so picture this.... the EOP purchaser/Ebay seller goes to the dealer with their buyer and the dealer decides to charge them MSRP + 3-5K. Its happening to USA Millionare...personally, I think its premature to be offering something forsale that you don't have in your possesion and may be faced with a dealer price adjustment if you don't have a signed contract.
 

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It doesn't make any sense to me that a dealer would agree to do that. First, they would be skirting the rules of the EOP and at least violating the spirit of them. Second, they could just as easily say "take it or leave it" to the EOP buyer. If he takes it at MSRP, there is one additional Solstice to make a profit on down the road. If the buyer walks away, then he has a First 1000 Solstice that he can do with as he pleases and can then pocket 100% of any profit above MSRP (instead of just half) if he wants to be greedy. But personally, I think he would want to keep it in his showroom for a time to get some extra hype and then sell it once the real offers start rolling in.

On the other hand, if it happens to be a good dealer, they would almost definitely refuse flat out and offer it to one of their die-hard waitlisters instead of trying to abuse the system and pocket some extra cash.

So I think that both reputable dealers and greedy, dishonest dealers would both turn down the offer in this scenario.
 

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I'd appreciate it if anyone could explain the best way for an e-bay or other type of Solstice transation to occur (safe for both buyer and seller).

I imagine there would be lag time between buying the car, getting the title and then signing the title to the buyer. What do you do in the meantime? Make the transaction (exchange cash and car) but just without title?

The whole double tax thing confuses me too.

Just trying to understand the process before I jump into it. I don't want to screw anything up or make a buyer uncomfortable.
 
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