blueash |
10-15-2022 10:00 AM |
Florida will require both parties to pay the sales tax based on the book value of the car. You can see the requirement clearly stated
HERE
For non-clickers, with my use of bold and enlarged font:
Quote:
To be tax-exempt, the application for title, or the transfer of license or registration, must be accompanied by a sworn statement that includes a description of the motor vehicle, the name and address of the donor, a statement that the title of the vehicle passed without monetary payment or other consideration valued in money, and that no outstanding lien on the motor vehicle is being assumed by the applicant.
|
Clearly there is a valued monetary consideration in your situation, the value of the other car. What this exemption is saying is that if the car is given with a non-monetary consideration there is no tax. That phrase would cover such things as I gave my car to my grandchild out of love, not money. No tax due.
Keep in mind the sales tax is collected from the person who receives the car. So if you trade down, you pay the tax on the lower valued car you received, unless of course the difference in value is made up in a cash transfer.
|