Buying and Selling Question

[AntB]

All - not really '44 specific but I thought your all knowledgable chaps so this is the place to ask!

If you buy a car to then sell it - how do you handle the V5 doc.. What I mean is - do you register it in your name to then sell it 5 days later? Do you leave it as it is, i.e. in the name of the owner you bought it from? Or do you use the yellow trade slip..?

This is based on the fact that your not a car trader as such, just buy and sell a few a year as a hobby more than anything else.

Cheers Anthony

 

[satancom]

This is based on the fact that your not a car trader as such, just buy and sell a few a year as a hobby more than anything else.

Cheers Anthony

I think its only registered traders that can use the 'trade' slip.

 

[dann944]

when i bought my car it was still registered in the previous owners name, the "trader" i got it from hadn't used to yellow bit either...

 

[pauly]

ORIGINAL: AntB

This is based on the fact that your not a car trader as such, just buy and sell a few a year as a hobby more than anything else.

Cheers Anthony

Personally if I went to buy a car privately and the sellers name and address wasn't on the V5 I would walk away, I know only the keepers details are on the V5 but in the absence of any other proof of title then that's something at least.

 

[AntB]

ORIGINAL: pauly

ORIGINAL: AntB

This is based on the fact that your not a car trader as such, just buy and sell a few a year as a hobby more than anything else.

Cheers Anthony

Personally if I went to buy a car privately and the sellers name and address wasn't on the V5 I would walk away, I know only the keepers details are on the V5 but in the absence of any other proof of title then that's something at least.

Yes thats my thoughts too TBH.

I sold a WRX Scooby not so long ago for a friend - and (quite rightly) the guy buying it was not happy that I was not the registerd owner or at the registered address...

So - just wondered what people did to get round this when selling cars

 

[David Hooper]

You don't get round it.
Which is why the powers that be brought in SORN for forecourt cars - although I think that may have altered - and the gone to trade slip with a line for your VAT number for trading.

Also be rather stupid of the previous owner not to inform the DVLA of a change as they are then liable for any misdemeanors that you commit unless they can prove the day you took ownership.
If you're only doing a few a year while you fix them 'cos they're nice classics, surely you as another owner on the log book, wouldn't bother anybody?

Of course if you're buying and selling more than few a year and don't want another owner on the log book then there is no way round it unless you've bought it from auction or another trader so the car is already showing gone to trade. But, you still have the problem of selling it as a private individual with the wrong name on the log book and no tax on it usually.

Of course if you get stopped, even if you're insured and the vehicle is on the insurance database, your name/address won't match the the DVLA info when the officer calls it up. If they start asking questions could be difficult.
Also local trading standards do have some very clever snooping equipment for matching phone numbers for multiple vehicle sales.

Which could lead to you being classed as a dealer and liable for VAT on your profit and paying personal tax on your profit like the rest of us.

Cheers
Dave

 

[Neil Haughey]

Do you have to be VAT registered as a car trader regardless of turnover?

IMHO if one is worried about the couple of weeks it takes to sort a V5 then you are intending to offload the vehicles pretty quickly which to me says, trader.

 

[David Hooper]

No you don't have to be registered.
But I think the current turnover limit is £72k. Not sure but I'll check.
So if you do a few hobby cars and they happen to be Porshe type vehicles, it only takes 8 cars at £10k each and you're over.

Cheers
Dave