[yellow65]

There was a thread on here before about this before I got my letter now I cant find the thread. I got my first Mustang back in May. I paid 1250 for my mustang that was crashed. Now the IRS wants 805 bucks because they "valued" the car theyve never seen. The previous owner paid 4500 for it and he crashed it. Yes it was worth more than 1250 bucks but I paid 1250. What do I have to do? Should i just send them a bill of sale?

[Stangmansteve]

Originally Posted by yellow65

There was a thread on here before about this before I got my letter now I cant find the thread. I got my first Mustang back in May. I paid 1250 for my mustang that was crashed. Now the IRS wants 805 bucks because they "valued" the car theyve never seen. The previous owner paid 4500 for it and he crashed it. Yes it was worth more than 1250 bucks but I paid 1250. What do I have to do? Should i just send them a bill of sale?

well Id just call your local office and see what they can do...you might need to show them how much you paid...and maybe they can fix the issue...just like you said.

[68coupe&06GT]

What are you talking about? I have never paid the IRS for any of my cars, just local personal property taxes..what situation do you give them money?

[yellowtonka2]

ya i have had the tax issue but it was a letter from dot. all you need to do is send a copy of the bill of sale signed by the previous owner and a letter of the cars ailments as to why it was sold for the price and a few pics of the damage.then you will be good to go.

[mhb292]

i have your answer, its called a .45 caliber hollow point

[andrewmp6]

Get the car appraised and show them its only worth so much and ask where do they get there values from.

[Cobra6]

If you are paying the IRS something, it is a scam - plain and simple.

If you are talking about the registration for your car and sales tax for your state or locality, that is a different story.

[Jay H 237]

Originally Posted by Cobra6

If you are paying the IRS something, it is a scam - plain and simple.

If you are talking about the registration for your car and sales tax for your state or locality, that is a different story.

Glad someone brought up this point!


The only taxes I know of are sales (when you buy) and personal property (if applicable) with vehicles.

An appraisal isn't needed or wanted. States/towns normally value a car much lower than what they are worth and the towns base thier mill rate on that.

In some cases, like mine, the true value of the car doesn't matter and can't be brought into the equation. With the antique plates on my Mustang and Caprice they (town) can only value the vehicles at a fixed $500 for personal property tax purposes even though they are worth more. The antique plates save me on taxes, and the reason I put them on my 1987 Chevy last summer when it became eligable.

[65sweetness]

haha, wow, yeah i had put up a thread with the exact same dilema. And seeing that your from illinois, like me, I think im safe to say that sumthing in our state got messed up. lol Unless your letter is from the irs like you said, mine was from the state of illinois, and the funny thing is, my situation was exactly the same, i paid about 1500 for the car, and they say i owe 800-sumtin bucks on it! haha

But as for fixing this prob, its easy. There should be a number on that paper they sent you, for springfield, il. the capital. what i did was i called that number and explained to the guy what was up, apparently he said that if you had everything transfered at a currency exchange, like i did, it got all messed up. So yeah, you can either get the car appraised, and send that in, or send in the bill of sale. And there should be a sheet that came with the paper, where you can make any corrections to your registration.

Good luck