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Discussion Starter · #1 ·
So i finally found a buyer for my r6 which ive been looking for a couple months. The guy asked me to gift the bike to him to avoid sales tax. Is this something I should avoid doing?

Also whats the risk of taking a cashiers check instead of cash?
 

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Premium Member
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Don't take a check. Only cash. If he has a check let him cash it first.

As far as gifting, I wouldn't do it. I've put very little sale price int he past but I've never done it as a gift.. Well once to a very good friend who I would vouch for if it ever came back to me...
 

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Agree with as stated with cash only. People these days and checks are just bad news. And i as well wouldnt gift it. dont put the full sales price but you should put something just to avoid any problems in the future
 

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vroom vroom...
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I can tell you one thing!!! You cant take a cheque from him, no matter whos name its in! He has a cheque, you deosit it, simple math with a paper trail, says.... THAT WAS NO GIFT! cash cash cash!
 

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^ Matt
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I'm fairly sure you cant gift a bike to someone other than immediate family and avoid paying taxes, Cashiers checks are more difficult to fake, they will normally have some part of the check that will change colors when warmth is applied to it. If your not comfortable with with just take cash....

I would not gift it but thats just me, if he wants the bike he will pay the tax. Your not actually giving him the bike your selling it.
 

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vroom vroom...
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OP where are you from? Here in Ontario Canada, you can only gift tax exempt to a family member. Any one else will pay the higher of either the sale price, or book value! That system seems to make sense, and I would imagine it applies in many other provinces, and US states?
 

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i believe that if you gift it, then you get a check and it bounces, you try to sue the guy saying that he didn't pay for the bike then you will lose as it doesn't state the price anywhere. But on the other, correct me if i'm wrong, if you get cash in hand then the guy takes the bike, it breaks within 30 days, that guy can't call lemon law on you because it was a gift.
 

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vroom vroom...
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even though cashiers checks always have funds, it still could be fake. cash only.
you could also easily ask for a bank draft, and make the sale during bank hours, this way you can call the bank, and confirm the draft was issued in your name! Than make the receipt out for a value close to the book value, as he will pay that tax anyhow! To everyone saying the cheque could be fake, so could the cash! A bank draft is as good as CASH!
 

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Gotta get up to get down.
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you could also easily ask for a bank draft, and make the sale during bank hours, this way you can call the bank, and confirm the draft was issued in your name! Than make the receipt out for a value close to the book value, as he will pay that tax anyhow! To everyone saying the cheque could be fake, so could the cash! A bank draft is as good as CASH!
:fact a simple call to the bank will let you know instantly if its good or not. Ive always used cashiers checks when buying anything over $10k, if its less than cash.
 

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Jesus Reigns
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I'd never take a check
 

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vroom vroom...
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I'd never take a check
Trust me, Im all about CASH, lots in my line of work! When it comes to customers, I will not take a personal cheque, nor would I selling a bike! But if your not gonna sell to somone just because their using a bank draft, good luck, most buyers just dont have the cash, many are borrowing the money from the bank who writes the draft!

This is common in the automobile world!
 

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09 r6 team blue
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ok im gonna jump in since not alot of ppl seem to understand the difference between a check or a CASHIERS CHECK.. a normal personal check can be wrote out to any amount but can be canceled or not have the funds in the account to back up the check. a cashiers check is a check that is issued FROM THE BANK. meaning that the funds are already taken from the person who purchased the cashiers check.. CASHIERS CHECK IS SAME AS CASH ALMOST EVERYWHERE, simply because the funds are promised by the bank, not the buyer. once a cashier check is activated it can not be stoped unless the buyer can prove it was lost,(meaning no one attempted to cash) or can prove it was obtained threw illegal actions. (in which he must prove also) either way the cashiers check will be already cashed just a matter of if the bank will give the buyer back his funds or not.

as far as gift.. in my line of buisness i do on the side. gift no longer works on a title.. most of the time they ask both parties to come in explain why such a high priced item was gifted.. most of the time its denied and they have to pay the tax on the blue book value. A New way around this is to put trade. i have ppl say they did some type of labor for me and i traded the Bike, car, etc. for their labor. putting a smaller amount is not the answer, they arent stupid.
 

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Hakuna Matata, btches!
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i have only taken a check one time, and that was when i sold my old Z71. Before i would even let him come pick it up i got all the check information and called the bank that issued the check to make sure it was legit. The check was a cashiers check not a personal check
 

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Stunt Rider
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Cash money! Just put $500 as the sale price bro.
 

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ok im gonna jump in since not alot of ppl seem to understand the difference between a check or a CASHIERS CHECK.. a normal personal check can be wrote out to any amount but can be canceled or not have the funds in the account to back up the check. a cashiers check is a check that is issued FROM THE BANK. meaning that the funds are already taken from the person who purchased the cashiers check.. CASHIERS CHECK IS SAME AS CASH ALMOST EVERYWHERE, simply because the funds are promised by the bank, not the buyer. once a cashier check is activated it can not be stoped unless the buyer can prove it was lost,(meaning no one attempted to cash) or can prove it was obtained threw illegal actions. (in which he must prove also) either way the cashiers check will be already cashed just a matter of if the bank will give the buyer back his funds or not.
YES, THANK YOU. i was going to explain this but you got to it first. do take a CASHIERS CHECK. but, never take a PERSONAL CHECK. very very big difference. if i were either you or the buyer, i would not want to be carrying around that much cash on hand.

secondly, do this instead of gifting: list the selling price of the bike as something really low - while there will be some taxes involved, it won't be nearly as much. and, if any questions are asked as to why it's so low, you can always state that it was a cash + trade/barter transaction. this is exactly what i asked the seller of my bike to do, and it all worked out well.
 

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scared of big tracks
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I'm pretty sure it won't make a difference for how much the guy buys the bike for. In my area, they couldn't give a turd less about how much I paid for my '99 when I bought it. The tax was automatically calculated based on how much the bike was worth in the state's eyes.
 

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Hey Guy
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i believe that if you gift it, then you get a check and it bounces, you try to sue the guy saying that he didn't pay for the bike then you will lose as it doesn't state the price anywhere. But on the other, correct me if i'm wrong, if you get cash in hand then the guy takes the bike, it breaks within 30 days, that guy can't call lemon law on you because it was a gift.
Lemon law only applies to new vehicles and dealerships. All used vehicles are sold as is.

ok im gonna jump in since not alot of ppl seem to understand the difference between a check or a CASHIERS CHECK.. a normal personal check can be wrote out to any amount but can be canceled or not have the funds in the account to back up the check. a cashiers check is a check that is issued FROM THE BANK. meaning that the funds are already taken from the person who purchased the cashiers check.. CASHIERS CHECK IS SAME AS CASH ALMOST EVERYWHERE, simply because the funds are promised by the bank, not the buyer. once a cashier check is activated it can not be stoped unless the buyer can prove it was lost,(meaning no one attempted to cash) or can prove it was obtained threw illegal actions. (in which he must prove also) either way the cashiers check will be already cashed just a matter of if the bank will give the buyer back his funds or not.

as far as gift.. in my line of buisness i do on the side. gift no longer works on a title.. most of the time they ask both parties to come in explain why such a high priced item was gifted.. most of the time its denied and they have to pay the tax on the blue book value. A New way around this is to put trade. i have ppl say they did some type of labor for me and i traded the Bike, car, etc. for their labor. putting a smaller amount is not the answer, they arent stupid.
I think the issue was fraud rather than bouncing a check. LMAO @ bouncing a cashiers check.

If the dude is getting a loan (usually the reason for a cashiers check) the bank can make it out to him, he can walk over to the teller and cash it. Problem solved.
 
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