You buy a car from a private person in New Jersey and he puts a reduced sales price on the title does the motor vehicle office honor that price for sales tax purposes?

If the declared sales price differs significantly from the blue book value then you might receive a letter from the NJMVC (New Jersey Motor Vehicle Commission, formerly DMV) asking you to pay sales tax on the the difference You can easily dispute this by responding with supporting documentation which shows that the vehicle is not worth what the state claims. This can include a letter describing the discrepancy, photos of the vehicle, and receipts for repairs made to the vehicle since you purchased it If you provide them with enough documentation they will not contact you again and you will not have to pay any additional sales tax.

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