WJV

My lease is expiring and I have a friend who wishes to purchase my car. My leasing company indicated this transaction is possible but that the process goes like this. 1) I purchase the car from the leasing company for residual, ostensibly not paying sales tax as this time. 2) I receive pink slip and sell car to my friend. 3) He registers car and pays tax and reg fees. Does this sound right? Is it possible for me to "purchase" the car with paying the tax and fees? I appreciate any thoughts. And sorry for the OT nature but you guys always impart a lot of knowledge.

c993k

Tax has to be paid each time the car changes owner.
Even if you purchased it at low residual it would still be in your name.
When your friend puts it in his name he would be paying tax on the full value
or appraised value. That's what they mean when they say "They get you coming and going!"
Chris

Arena993

I don't know how your state works, but you may be able to get a "TITLE ONLY" title where noe sales tax is paid. Check with your county clerk

Mike

WJV

For what it's worth the state is CA.

epj993

Check it out at the CA DMV website: http://www.dmv.ca.gov/