Do I have to pay sales tax if I take over auto loan payments of another?

Answer:

Answer

Presuming you mean your buying the car by assuming the loan of another:
The purchase is taxable. It doesn't matter if you pay cash or finance it by getting a new loan, or assuming an existing one. It should be based on the current payoff amount of the loan, which is really what you are paying.

If it is within a family, there may be an exemption.

First answer by IamLostRU. Last edit by IamLostRU. Contributor trust: 1566 [recommend contributor recommended]. Question popularity: 14 [recommend question].