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04-29-2007, 11:13 PM
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Hummer Veteran
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Join Date: Jul 2006
Location: Tulsa, Oklahoma
Posts: 219
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Becoming a "dealer"
Ok does anyone know about this car "dealer" thing... I know a few people here in my town that appear to be playing the system, and I gotta figure out how to do it.
I figure with the way I always like to change and get different cars, that the best thing to do is not lease, cuz usually I want out of one after about a year or so... the problem is this damn TAG AND TAX!
When I bought this H2 it was like $2800.00 and that is an awful lot of money to be just pissing away.. It sure seems like these individuals that I know that are NOT dealers but have the dealer tags are doing the right thing... I have heard rumors that doing that prevents them from having to have to pay the tag and tax fee... so basically I can buy and sell all the cars I want and not get shafted by giving the state its 4%
Is there any trick to doing this... is it as easy and beneficial as it seems? I'd appreciate any input that could be offered!
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Carless... riding the bus... Trying to decide on which 08 H2 to get
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04-30-2007, 08:16 AM
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Hummer Authority
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Join Date: Nov 2004
Location: Little Rock, Arkansas
Posts: 1,784
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Re: Becoming a "dealer"
My tax etc. was about $3500. Ours is higher rate.
Normally You have to have a sign showing your business name and a phone number that customers can call. It can be a side business and not main business. Yet You have to look to be invovled with wholesale and retailing of cars. Most states make it so You cannot just pay a fee and then You are a car dealer. You would have to call your states revenue dept. or may be under something different in state gov. They will tell You as well a send forms etc. to become a dealer.
I have a friend who has a used car company in one part of the state and then bought a Dodge, Jeep, Chrysler and something else. All i can pass on is being a dealer let's You drive the rig and then sell it in case of new truck demo model. His dealer tag can be moved to what ever ride he is driving and not dedicated to just one car. I'm going to assume that no tax is paid on ride to state but, the strict insurance requirement for business most likely would offset the tax not paid unless you could sell some cars along the way to cover the costs.
I do know that my friend has been in the used car retail/wholesale for over 30 years and just got into new car a couple of years ago. I have stopped by and gone to lunch with him and have seen him go and get a set of keys for a new car no tag and a few times switch the tag then we drive off so he can show me what it will do etc. He is trying to get me one of the first new Challengers that come to state and at least the first he gets in his dealership and going to do something to help with taxs by way of him becoming a sponsor and Challenger will get a few mods and then trailered for show, as well as driven, so it will be my car yet he has some plan to work it through the sponsorship deal and I will be promoting his dealership. I have not gone into details as it will be a little while. I id get my diecast Challenger model and the Camaro diecast is shipping today. They were so popular that company sold out in advance the limited number they were making. So I guess the real cars will be just as popular. Sorry for wandering off it just got me to thinking about it.
I know many in my family have driven off in new cars with his dealer plate switched onto it then they or me as well have driven it for the weekend. He tells all what to say if they get stopped by police.
I hope this is helpful in some way as basicly it appears as the plate is tied to the dealership or say to a smalll wholesaler as an individual. I have been thinking about doing the same thing as you but, they do check up on you so I'm guessing You have to do something to look legit.
TAZ
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05 H2 SUV cus. paint, Magnuson SC 6/12lb boost, cowl hood scoop, 12" dash touchscreen, GM elec. fans, HPTuners.com tuning soft., Dynatech headers dual catback exhaust Jet Hot chrome front to back Flowmaster Super 40's, Diamo 8 Karat rims & 325X60-20" Toyo, 4 OEM Captain seats Katzkins leather, rear console computer inside running all AV/NAV etc., Infinity component system 3 amps Tsunami Caps, rear flip down 12" monitor, headrest monitors, overhead console boost, fuel pressure, & A/F ratio gauges
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04-30-2007, 07:59 PM
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Hummer Guru
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Join Date: Mar 2005
Posts: 3,356
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Re: Becoming a "dealer"
don't buy sell or title as a dealer unless you want what comes with it. you could get sued or be required to do certian repairs depending on the state you in.
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04-30-2007, 08:27 PM
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Hummer Veteran
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Join Date: Dec 2005
Location: DFW TEXAS
Posts: 220
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Re: Becoming a "dealer"
in a nutshell all you have to do is have a dealer license, which if you sell more then a cetain number of cars a year you have to have anyway.legally.
fill out the forms pay your fees, and then you are a dealer. depending on where you live there may be different things you may have to have or do.
__________________
Dennis
ANY SPELLING ERRORS ARE TYPOS, OR , THEY ARE DONE ON PURPOSE.
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04-30-2007, 09:09 PM
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Hummer Guru
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Join Date: Mar 2005
Posts: 3,356
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Re: Becoming a "dealer"
the plate is a dealer plate. most larger dealers do not use them except for staff for insurance reasons other then that is a demo plate or temp plate. You want your own dealer plate it wounds like. If you do a lot of horse trading it would help you.
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05-01-2007, 03:01 AM
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Hummer Authority
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Join Date: May 2005
Location: Texas
Posts: 1,304
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Re: Becoming a "dealer"
Quote:
Originally Posted by MattRoberts123
I know a few people here in my town that appear to be playing the system, and I gotta figure out how to do it.
...the problem is this damn TAG AND TAX!
so basically I can buy and sell all the cars I want and not get shafted by giving the state its 4%
Is there any trick to doing this...
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This is what it's like in Texas...
My only advice is to watch out for that whole tax fraud thing...
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