Got a vehicle awhile back for a pretty good price, it needed some work....fixed it up mostly myself. Farmed out a few things.
I had plenty of time! Covid. Work from home, etc.
It could still use some attention here and there but overall it's good enough for me.

Got a letter from the state today.
They want me to pay 6% tax based on NADA retail which amounts to well over 3x what I paid for the vehicle.

I called the guy listed on the letter, overall he was a nasty jerk just as expected, and he seemed to really want to give it back
to me, and act like an A Hole when I voiced my frustration that this was unfair. Typical Entitled "I am an authority" attitude.

Letter says they want receipts for every little thing from the "dealership or authorized repair shop who did the work", which I don't have.
I did 99% of it myself at home. I bought things from wherever I could, Facebook marketplace
or wherever. There aren't receipts. I did not pay myself.
(If I did, I'd pay myself the full retail value of the vehicle and make them go away).
The guy says they will consider what I have done to it I just send him a list of the work and what I paid for parts,
based on some sort of fuzzy labor metric that he won't divulge. Personally I think he is FOS/the letter states receipts are required.
I'd prefer not to create a list that doesn't get read and gets thrown away.

So now I have two choices:

1. get appraisal for the vehicle as it sits,
supply those along with statements of the work done and estimates of the work needed
to basically make the vehicle in like new condition.
Basically run around and waste a whole bunch of time trying to prove it's worth less than they
think it is, which I'm sure I can do, but I also have to waste lots of other folks' time getting estimates for things I don't intend to do, but would
be needed to elevate it to a true blue book retail levels. I got a killer deal on the vehicle for several reasons.

2. Just pay the idiotic tax, which I don't want to do not 100% out of being cheap but because the letter says "If you agree with this, then pay up, chump".
.....Because in principle, I definitely don't agree. The thing started off as a turd, and I made it pretty respectable,
I was almost kinda proud of it, sorta, but now I'm being punished for my work.

Honestly I am tempted to call the jerk back again and ask him
"Much as you know I disagree, if I just pay this to save the time and effort, is it considered admission of guilt?"

I was livid for a few minutes and typing this out this helped calm me down. Just a vent.

What would you do?

SMH

Not quite following. How is they're coming back after you for sales tax after the sale? Didn't you pay the tax at the time?

Or.....

3.- use the vehicle to move to a less corrupt state.

This!

I paid sales tax at title transfer time.

Title transfer only requires a stated price paid.

If they don't believe what you paid and decide to question it, they can call you out later and this is how they do it (always wondered how that was done).

Got this stupid letter several months later.

Corruption is the norm rather than the exception, pretty much everywhere.

If I could produce a bill of sale right now, it would put a stop to the inquiry, but I don't have one.
It's no secret such things are easily faked but I would never consider doing that.
The door company I bought the vehicle from went out of business, so there is no getting ahold of anyone.

Sounds like the DMV handed it over to the tax collectors to squeeze more money out of you.
I hate the self-entitled authority-abusers with a passion that requires my vilest profanity.
Couple ways around that:
An appraisal - heck, I'd do it from an info package that would legitimize it - from one of us.
Or you can do it yourself, really all that's needed is a letterhead and different contact info than yours.
Grab a pack of Repair Invoices from Staples, etc and go to town, again different contact info.
You could use me for that but I'm in Idaho, so not very plausible.

How accurate of an appraisal (for value at the time of purchase) can I get, for a vehicle which is no longer in the condition it was when I purchased it?

For Ha-sies, a submitted bill of sale with the overhead door company letterhead from a website and signed Respectively, Hugh Jorgan (if he'll let you) would be pretty clever.

Wish you success in resolving. The build thread you did was a good read.

For an appraisal, you have the "before" pictures.

Had a second, much nicer talk with Mr. DB.
Asked more questions and proposed a few scenarios for future reference/so this doesn't happen again.

Questioned him about the year delay which weirded me out, he said it was a deliberate Covid relief directive to
not chase people, but since January 1st over 2000 letters just like mine have been sent.

My earlier assumption was incorrect.....
Bill of sale from an individual or any non-dealership is meaningless to the state.

If I ever embark on something like that again, turns out the best protection is get an appraisal
and/or take it to a dealership and get a "what would you give me for it today, as it sits" price,
before doing any work. Mr. DB says they would seriously consider that. So, that's the future plan
if I go this route again.

It's one thing to waste my own time running around getting estimates for stuff I don't really intend to do, to meet retail value....
(I repaired the important stuff), but I can't jump into a time machine and get an appraisal from the past, and I'd feel bad wasting
the time of the businesses I would be visiting to pile up the estimates. Rather not and won't.

So I will just pay the stupid thing and chalk it up to lesson learned.

If I do it again, will get an appraisal to cover my posterior.

Here in South Dakota , they ask for a bill of sale on everything .. on old cars , anything under $1500 no tax ..

Its pretty easy to get most sellers to make you a bill of sale I print one of the net and bring it with, old cars did not used to be tough without titles but, they have closed that loop hole now , the man wants all old cars off the highway's

On older cars here the tax on private sales is inexpensive, unless the car sold for over $15,000.
They used to be pretty loose on these sales, you’d fill out the paperwork and say you paid under $15,000 and all was good.
Now they take any reported sale under $15,000 to be a lie. Even buying a 4 door AMC Ambassador will have you receiving a letter from the state later saying they know you paid over $15,000 and now you owe tax and penalties. So it is very important to document the sale on both ends and have ironclad paperwork to prove you paid less than $15,000 on an older car or the state will screw you.

Last time I checked, here in TX they go by book value now on old(er) cars because too many people had a 10+ yr old car that their friend sold them for $200. Back when I had my Caravan, this kinda sucked because I honestly did pay $200 for the vehicle! Instead they taxed me on book value of $1300. I forget the exact amount out of pocket, but it wasn't too painful.

I always wondered if this would still apply if you had a notarized receipt from a dealer that you paid well under book.

FWIW, in Ontario the tax is based on the book value of the vehicle. If your bill of sale price is close then you pay on that value. Anything else, like buying a wreck or badly damaged vehicle, requires an appraisal - which is about $100 give or take. So do the math whether the appraisal is worth it or not. You really can't blame the government, while the OP may be an honest guy, how many people try to screw the government of vehicle resale tax !!

1976. I bought a brand new price leader el cheepo six stick Chevy C10 pickup for $2010. What a piece. Two months later I sold it and bought a new 1976 Monte Carlo. State of Meechigun sent me a letter alleging that the guy that bought my truck couldn't have paid as little for it as what he told the Secretary of States office when he applied for his Michigan title. He had put down the exact amount I sold it to him for. The state of Michigan is full of these pieces of carp leaches that work for the state. Never did respond to the letter as Michigan had requested. F 'em.

I have found that in ND you have to protect yourself. I bought a 1969 roller Roadrunner for $4K. Went down to get the title transferred and I brought up the topic of price. Told the clerk it may seem low but this is a shell with parts missing. She said "oh" and pulled out this DMV form that documents vehicle condition. So I marked no engine, no transmission, no interior, and no glass (which were all true). I got a copy of the form, paid the fees and haven't heard a word since. I had a total rustbucket of a '67 Barracuda notchback that one of my friends just had to have. Sold it to him for scrap value. The DMV had a kitten over that and my friend surrendered. I told him to fight it, the price was legitimate, but he felt that this was the best way. I guess it was his money.

Own a small business and see these leaches come out of the woodwork. I mean they are just employees but you'd swear they get a commission on what thyey collect they are so aggressive.

Small business owner pay tax on "personal property". So you basically have to pay tax on everything you insure or depreciate. All your vehicles, equipment, computers, etc. About 5%. EVERY EFFING YEAR. THOUSANDS OF DOLLARS JUST FOR THE PLEASURE OF YOUR COMPANY AND EQUIPMENT SITTING IN THIER CITY. They actually want you to pay tax on every pencil and office chair. We already pay 100 other taxes. The government thinks like most employees, "It sold for $100 so they MADE $100" NO!!!!!! Rent, payroll, repairs, roof, pallet racks, parking lot, paint for the building, machine repairs, computers, utilities, and on and on. That $100 is only $20 profit IF YOU ARE DAMN LUCKY.

I always remember the story about John Wayne Gacey, the clown serial killer. He was a government flunky that would patrol neighborhoods and write tickets for lawns being too long. One person said he would bring a phone book of paperwork and pictures if you fought him in court. HE WAS A SERIAL KILLER!!!!

call it in stolen ....and sell it out of state..

I sold my sister a car a few years ago. Gave her a decent deal on the car but didn't give it away and then she had the same problem. Some idiot from the State called her and told here she owed more tax because the car was "worth a lot more than the bill of sale". She told them that the car is worth what I paid for it. I don't recall what happened but I think she had to pay some extra tax.

Basically it is the curse of the small time tyrant. Some people in small jobs try to inflict as much pain as possible.

Ct does that. I bought a car with a sales price of $ 7500. When I registered the car they charged me tax based on that amount. About a month later I get a letter from DMV saying that after review using what ever valuation books they use that the car was was worth about double what I listed and wanted me to pay the difference on top of what I already paid..

Know anyone that holds a state license to sell cars? Here in IL, any licensed dealer can give you a current wholesale value of the vehicle in question. If the state licensed dealer signs the paper stating the car has $$$ value wholesale, the state has to accept that value. That value has to be within reason of the average similar vehicle value (or the paper states why it is low), but that number could be considerably less then the states numbers. You probably end up paying more money for tax, but it may be far less then the State is demanding.

I've arrived at the point where I get that wholesale value from my friend that owns a used car dealership here in town every time I buy an old car. I pay the tax due on that amount right up front, but its always before I invest much money, or done any work. I figure that wholesale value tax is part of the purchase price. If I got a great deal on the vehicle, even with the higher taxes, its still a great price. The state is happy, and I don't have any problems.

Get a wholesale value from a dealer on the car as it sits now, and pay the taxes. You have just paid for your education, buy the next one with more knowledge.

The days of buying (and selling) parts on line without paying sales tax are about over. The states want the money they think they should have coming. You may get by with a few small parts here or there, but any big ticket items are now pretty questionable. If you tell the state the car you bought cheap doesn't have a motor, and suddenly your driving the car around, the states wants to be sure you paid them tax on that motor you bought, and they want to be sure the guy you paid the tax to, sent the money to the state. Its only going to get worse. Gene