mitchntx

iTrader: (14)

My mom was declared legally blind over ten years ago.
My step father passed away in 06.
Mom moved in with us.
We consolidated assets and purchased a new vehicle to help ferry her around.

In order to register and insure the vehicle, a licensed individual must be a co-owner ... me.

We attached survivorship to the title meaning that when one of the two owners passes away, the other has legal ownership.

My mom passed away last month.

In researching the process and forms, it appears I will have to pay the 6.25% sales tax on the presumptive value.

Really? An heir or survivor has to pay sales tax again? Really?

Anyone have any insight on this? Am I reading the statute correctly?

FasTimeSS

iTrader: (47)

You need to be seatching better forums to ask questions like this

stoverz28

iTrader: (8)

First off, I'm sorry for your loss.

Why does the title need to be changed if your name is still on it? I know they have been charging sales tax on inherited items (like cars) for a while now but this sounds like some bs.

mitchntx

iTrader: (14)

Thank you ... I appreciate it.

Good question.

There will come a day when I will want to sell it. I was wanting to avoid massive hassles then. Looks like it might be unavoidable.

When that time comes, maybe all I need is an Affidavit of Heirship and her Death Certificate.

Silver408z

iTrader: (1)

Yes you have to pay taxes on anything you inherit. People used to be able to go in and say they paid $1 for it but then the counties changed it to be the value of the car according to what ever source they use. Depending on the car when you go to change the title you might be able to haggle them down on the value of the and that would lower your taxes you have to pay.

mitchntx

iTrader: (14)

Thanks for the response.

But let me be clear ... there was survivorship attached to the title.

Inheritance tax is a form of income tax.

I'm wondering why I have to pay sales tax again when I did so when I co-purchased the vehicle 5 years ago.

adamc

iTrader: (1)

the forms you need are an original copy of the death certificate and affidavit of heirship. Im thinking you can take these into the tag office and just pay title transfer/no tax. sry to hear about you mom.

GreatWhiteZ28

iTrader: (15)

If your names already listed as a registered owner to that vehicle, all you should have to pay is a tittle transfer, my 1st truck had me listed as a co owner untill I paied my dad back for the half he funded, and I only had to pay tittle transfer fees, keep in mind that was some 12yrs ago though..

Also sorry for your loss

Footlead

iTrader: (18)

There is an Heirship form they have and I think it has to be notorized and it only costs about $40.00 bucks instead of paying the titles transfer taxes.

2_slow_5.0

Tax on inheritance is crazy! Its much higher then that on land and homes so consider yourself lucky.

slayer_taunu

iTrader: (3)

there is a 'gift tax' on cars, which is a flat fee of $10

http://www.txdmv.gov/vehicles/titles/faq.htm

there are two items of interest on this FAQ, gifts, and 'deceased spouse'. i know its not your spouse, but the form is for heirship, which might fit your scenario.

astro11271984

iTrader: (5)

http://www.txdmv.gov/vehicles/titles...tive_value.htm this is what we use in our office to determine spv on vehicles and the same site the tax assesor uses

03Sssnake

iTrader: (20)

I am going thru the same process, wifes biological father passed away, we picked up his truck and title last week. I sent the title and death certificate to my lawyer, they are doing the title work. I think there is going to be a fee, but have not been told we will have to pay any taxes.

ysb02

Transferred my dad's truck to my name without paying taxes. If you're a direct family member it's easy.