Several hours later, I made it to work in a lovely rental car, and three weeks later, I had purchased a new (well, new to me, anyway) car.
So why am I telling this story? Because there is a tax benefit if you have an accident that is a total loss, and you receive an insurance payout for said loss.
It’s called a “sales tax affidavit” and is available by law in all 50 states. There are some variations depending on the state, the model year of the vehicle, damage assessment, etc., but it is still the law of the land.
READ ON....
When was that? In 1980?
I think she meant she purchased a used vehicle.
Could have saved all that trouble by NOT driving 70mph in deer country around dawn and dusk, like wise rural folks do. I typically drive 50, and let the foolish city-folks pass me to plow the deer off the road before I get there.
I was very interested in this because I just had a total loss insurance claim on my daughter’s car and bought her a replacement.
In Texas, the insured CANNOT avoid paying sales tax on the replacement using the settlement money insurance paid for an insured total vehicle loss by using a sales tax affidavit as the article claims (“in all 50 states”).
What IS exempt is the transfer of the totalled vehicle title and wreckage from the insured to the insurance company in exchange for payment of the claim. That is not deemed a sale.
reference: https://comptroller.texas.gov/taxes/publications/96-254/insurance-settlement-transfers.php
later
So the government is subsidizing unsafe driving and bad drivers. Great... is there anything this “government” does these days that is NOT evil and degenerate?