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Jared Hamilton
From: Jared Hamilton
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Bryant Gibby

Bryant Gibby Used car manager

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Out of state deals

We have had some issues lately with out of state deals when it comes to taking care of their licensing and registration fees. We have had several customers either assume or claim that someone told them that we were going to pay for all of their licensing and registration fees. As you guys know, the customer usually wins and we had to pay for their fees that weren't set up in the deal as a result of the miscommunication.

I would assume most dealers handle out of state deals the same way that we do. We account for the sales tax in the deal and send that money to the dmv of the state where the customer lives. We do our best to explain that the taxes are going to be handled but they need to take care of their state fees when they go to the dmv and register the vehicle.

Because we keep getting put together lately, I was thinking that we need to put together an addendum or something for the customer to sign that states the customer is responsible for taking care of their state fees when they register the car. I figure by having that separate contract, we could avoid any future problems. So... Does anyone have a similar contract that they use at their dealership? Does it work? If you have something in line with what I'm planning on putting together, is there any way you could email what you use to me to give me some ideas of what to put on it? Any input would be much appreciated. My email is bgibby@henrydayford.com.

James Klaus
Hello Bryant, Not sure if this will work for you but this is how we handle out of state deals. In the state of Montana we we operate we do not have sales tax. However we do sell a lot of cars and trucks to Wyoming, Idaho, Washington, Oregon, North Dakota etc. We put it all on the customer, we tell them that when they register the vehicle in their respective state that they will then be charged any state or local taxes that are required. We have a generic form that they sign and we have not had any issues. Not sure if this will help but this is what we do. Good luck to to you, James

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