Can sales tax for a private party car purchase be added to a bank loan?
If you purchase a car from a private seller, in New York State you have to pay sales tax at the DMV. The tax amount is determined by the sale price of the vehicle. My question is: Can the amount that you will have to pay for tax be added to the bank loan; in turn not having to pay the taxes at the DMV because it’s already included in the loan? (I’m in New York State) I know that taxes are not payable to the bank. But if you were to purchase a car from a dealer, they could add all the costs, including registering the car, and taxes, and you could get a loan from a bank to pay for all of that. But my question is, when buying from a private seller, can the tax be included in the loan so as to give the buyer a break from having to pay cash out of his pocket to pay the tax at the DMV. It is in NO way a tactic to try and get around paying taxes, it is simply having the cost of the tax included in the loan. The state will still get the tax money.
