A car dealer can take advantage of you without you even realizing it. For example, a salesman can overcharge you on taxes on the bill of sale, and get paid commission on what he overcharges you. You can avoid this scenario by finding out your tax rate ahead of time, which depends on what county you live in. As advised in our new car buying tips, you should always bring a calculator with you to the dealership. Determine the taxes you should be paying by adding up your sell price and any applicable fees, and multiplying this number by your tax rate (for example $22.475Â X 0.07, or 7%, equals $1573.25).
Your salesman may insist that the tax figures are correct, stating that the taxes are correctly by the computer. That being said, most salespeople will not try to make you overpay on taxes. However, as the economy worsens, salespeople are more likely than ever to try and rip you off. Be prepared, and have your calculator handy!
You definitely need to be on your toes when dealing with sales people on commission.