I am in the process of a lease transfer for my GMC Terrain through GM Financial.
When i called in to check the status i was told by their rep that the transfer was put on hold to assess a property tax charge of $125.
This is in the state of TX where the full sales tax (6.25%) is added to the lease during the initial lease assumption. I read through a couple of articles here:
and
I dont see any paperwork from the dealer when i leased this car that indicates that i have signed any forms like 50-285 Leesee’s Affidavit of Primary Non Income Producing Vehicle Use
The already absurd $595 lease transfer fees now starts to look more expensive factoring in this property tax charge.
According to the rep, GMF assesses property tax in the state of TX after 1 year of the lease. Mine is a 12/24 and i am 7 months into it. So this does not make any sense to me.
Anyone out there had to deal with something similar with GMF?
I looked into this, because I thought Texas didn’t do this personal property tax nonsense. Turns out they do, kinda…
It seems that even if you did file the personal use exemption form, certain local municipalities may still be allowed to collect it. In one example, it mentions that the tax is for vehicles leased as of January 1st, with the bill being sent out in October. So you would owe the tax if you had the vehicle on January 1st of this year.
They had me fill this out just a day or two ago on my lease so it got me to do some research there’s still quite a few in Dallas that charge no matter what but I can’t find a complete texas list of which ones do and which ones don’t I’m not in Dallas … Also how do you know just cuz you sign it that it gets filed properly also is it once per year if they’re going to tax us ??? they need to make the information easily accessible ridiculous…
Going through this process now, as GMF wants to assess me almost $2k of property taxes!
First off, you do need the file the form mentioned above (50-285 Lessee’s Affidavit of Primary Non Income Producing Vehicle Use). The form itself has the address for GMF on it, or you can email it to propertytax@gmfinancial.com.
Once GMF has processed it, you should be all clear for property tax – unless you live in one of the cities mentioned that sought an exemption to the property tax exemption. The LinkedIn post from above has the full list of cities/counties. For those places, seems like you are stuck.
Note that the GMF Lease Assumption department assessed the tax for me despite my city not being part of the exemption list, but the Property Tax department confirmed I was good after filing the form. So you may need to get the Property Tax and Lease Assumption departments to talk to each other…
