Was sales tax charged on your clunker rebate?

[jangell2]

Originally Posted by emnesto

No sales tax on clunker $4500 in Arkansas. The clunker shows as a trade, and sales tax is calculated on difference. The word "clunker" does not appear anywhere on the dealer invoice.

Hey, I'm in Maumelle, AR and we got our car at North Point. The salesman told us that we would not be charged on the clunker rebate.

I'm thinking, yeah right. Why would the state give up that tax money? My Purchaser's Order shows the Cash Price of Vehicle (which is the selling price of the car), adds the service and handling fee, deducts a trade in of $4500, and deducts the check we wrote to come up with a balance due of $0.

Have you actually registered and paid your sales tax? We're still waiting on the dealer paperwork 2 weeks after the fact, so we can't register yet.