If I purchased a new car and now 1 month later the dealer claims that thetitle cannot be converted because state sales tax hasn’t been paid, what’s my obligation?

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If I purchased a new car and now 1 month later the dealer claims that thetitle cannot be converted because state sales tax hasn’t been paid, what’s my obligation?

I purchased the vehicle out of state vehicle and the same day I traded it for a new car.

Asked on March 4, 2012 under Bankruptcy Law, South Carolina

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

In order to answer your question, you need to carefully read your purchase agreement. The document controls the terms of the written agreement. If you have complied with the terms of the purchase agreement and the dealer somehow forgot to place the sales tax in the document to be paid, then from what you have written, you should be entitled to the registration in your name and not have to pay the sales tax.

I suggest that you consult with an attorney that does consumer law about your situation if the dealership will not give you the registration to the vehicle. You might wish to make a complaint against the dealership with your local department of motor vehicles.


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