In
Minnesota, we have a very large and active car hobby. The is a Minnesota Car
Club Association, which meets once a year with representatives from every club
in the state. Primarily, they coordinate car shows so they are held of
different weekends. They also discuss legislation issues. We also have a very
large club in the Minnesota Street Rod Association (MSRA, a chapter of NSRA),
with over 10,000 members. This club has its own lobbyists at the state
legislature. Minnesota used to have a sales tax on old cars on the value of the
sale, at 6%, paid by the buyer at registration. But everybody lied about the
sales price. So the state started to use one of the collector price guides, but
then the issue is what is the “condition”. The MSRA lobbyists pointed out that
this process is unfair to some and generous to others, but the average amount
collected was $90. This is the tax paid on a $1500 sale. So the state agreed to
change the sales tax on collector vehicles to a simple flat rate of $90.
Another
example of combined grass roots car collector voter power is the elimination of
the annual pollution test. Using the data provided by the state, they showed
the entire process of pollution testing identified an insignificant number of
over-the-limit cars and had no impact on reducing pollution levels. The entire
test program was scrapped!
These
efforts also brought the year-of-manufacture license plates and one-time
permanent registration fees for collector cars.
The point
is that voter pressure can change things. There are a lot of voters with
collector cars, and politicos don’t want them campaigning against them.
Dave
Homstad
56 Dodge
D500
-----Original
Message-----
From: Forward Look Mopar
Discussion List [mailto:L-FORWARDLOOK@xxxxxxxxxxxxx]On Behalf Of Roger Schaaf
Sent: Saturday, April 21, 2007
5:05 PM
To: L-FORWARDLOOK@xxxxxxxxxxxxx
Subject: Re: [FWDLK] property
taxes/old cars
Once
upon a time, Calyfornua taxing system went as follows. You buy a new car
and basically pay a 3 percent registration rate plus their pound of flesh sales
tax of over 8 percent. Each year the car would depreciate some and the
tax would decrease. Therefore a really old car could go down in value to
the point where your annual registration fee could be quite modest, and if you
should sell the car, this depreciated value would carry to the new owner.
Some
years back, some thieving, miserable socialist decided this was not fair to the
downtrodden and found a method to extort another pound of flesh to support
Caly's insatiable demand for monies to fund more vote buying pet
projects. Now when you sell your car, the new owner must reset the clock
to what he paid you for the car. So a Corvette that sold new in 1967 for
say 5,000.00 and was owned for 50 years and now sells for 100,000.00 is
annually taxed at a value of 100,000.00 to the new owner and begins
to depreciate from there until it is sold again. And of course the buyer
must pay over an 8 percent sales tax on this 100k. Gets expensive in
annual taxes to own an old car or 2. And if you do not register it to
drive it on the streets each year, you must still pay an out of service annual tax.
So the best deal now is never to sell an older car to replace with another
older car. Kinda curbs the collector car trading market. And some
wonder why many have contempt for our politicos!
Oh
Christ, I just gone and lost my head again.
Roger
Schaaf
71 Corvette
that I have owned 35 years and 300 B that I have owned for 23
years. Might love to do some trading around, but will not.
What a way to run an economy!
-----
Original Message -----
To: L-FORWARDLOOK@xxxxxxxxxxxxx
Sent: Saturday, April 21,
2007 5:45 AM
Subject:
[FWDLK] property taxes/old cars
In North Carolina an annual property tax must be paid on every
vehicle. It matters not whether the car is usable or licensed. . A special
"book" is kept in the state capitol which gives the local assessor
the "correct rate" at which to tax your old car. The book assumes
every old car, including that rusted out old Model A in the wood behind
your house is a restored model. Appeal is virtually impossible, as I stated in
another post a few minutes ago. One must go to Raleigh with a hired lawyer
after filing a petition and formally present your appeal to a tax appeal board.
This is what I was told by letter when I protested my tax bill.
As
mentioned above, the tax is an ANNUAL one, and though it decreases slightly
each year on new cars, it increases on "antique" models.
I have
many friends who "hoard" old parts cars "out back" that are
in great fear of the tax assessors finding their ":stash." Especially
so since they have begun using aircraft to spot these vehicles. North Carolina
is NOT a tax friendly state to homeowners or old car lovers. And yet each year
I receive an "invitation" to enter my 55 Imperial in the annual
Christmas Parade. For free, of course.
Oh
yes-fail to pay the tax on that "junker" out back and they will
refuse to license your regular driver.
Ted ( who would get the h--ll out of here if someone would
buy his house!!)
See
what's free at AOL.com.
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