Hello,

    As the title goes, I plan on buying a car from a family friend and their asking price is 10k. I’m aware that the federal limit for gift money is 19000, so would it technically be possible to mark the car as “gift” and “gift” the family the money?

    Would it be different if I paid them in installments too? Or would it be better to just pay all up front to avoid being audited.

    any “grey areas” for buying a 10k used car from a family friend
    by intax



    Posted by oronhehe

    3 Comments

    1. Its-a-write-off on

      It’s not a gift. You are buying the car. Is this about sales tax avoidance? What state?

    2. > so would it technically be possible to mark the car as “gift” and “gift” the family the money?

      No. Substance over form.

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