Flipping discouraged by Porsche

I don't see anything wrong with this (and am not implying that you do either)....it's kind of a "know your client" program in a way (but then again, any salesman or dealership that doesn't know their clients shouldn't have a job or franchise to begin with).....it's just ensuring that the newest and most desireable cars go to the longest standing and best customers.

It's a good business practice IMHO......althought it won't discourage people from flipping the cars who really want to......it'll just limit the buyers who are more likely to do so.

 

Illinois collects significant taxes on automobiles, and as such it really frowns on this practice. The IL Secretary of State has a special police division specifically to prosecute "flipping." People do "flip" and get away with it, but they do face prosecution if caught.

 

That sounds a bit harsh!!! I would prefer them to prosecute real criminals not someone that has found a way to earn income in a unique way.

 

Prosecution for what?

 

Why would it be against the law to "flip" a car?

 

They're trying to build hype and increase demand IMO. They're taking a chapter out of F's book. Fast forward 6 months or so after intro and it'll be a whole new ball game.

 

Why is it that when I hear about rediculous laws, civil rights violations, and corrupt politicians, it's always followed by the words "Illinois", "Chicago" or "Mayor Daley"?

 

Seriously. The defendant would probably say that he was offered an amount for the car he couldn't refuse. What would the city/state's rebuttal be? Sorry, we don't allow a free market where buyers can buy what they want for whatever they're willing to pay. ???

 

This differs from ticket scalping how? For the record I think scalping should be legal, but if one is illegal it would make sense that the other would be.

 

So you have to had owned another Porsche to get on the list? what the crap is that, Im running out of sports car manufactures that dont have stupid rules or crap like that.

 

I pretty sure you can buy one at my local dealer with out all the hogshiit. It's probably a few dealers trying to hype of the Turbo to make people feel really special and really stupid after they realize they were duped into it and paying higher prices.

 

guess u just have to start out with the $hitbox made by any given marque!

 

You think Lambo or Pagani have any rules about having to own another supercar before buying one of theirs?

 

I don't get what you mean. If they collect money when a car is sold, they should be loving this. If the buyer sells it to a speculator/buyer who sells on to an end buyer all within 30 days then IL just got paid sales tax three times in a very short period. Why would they have a beef with this at all?

Unless there is some weird tax crediting going on in IL we don't know about.

 

One word, Dealer kickbacks.

 

If the taxes are paid, it isn't a problem, but not all who "flip" pay the taxes. For example, if I buy a car and pay the taxes (flatbed it home for zero additional miles on odometer), but then I get a dealership (or private party), which is looking for that car as it brings a premium, to pay me my cost plus X profit for the car and its title (which only I sign as they don't want to pay taxes and I don't want them to do so either as I know it will eat up part of my premium), they can then sell the car to customer A, B, or C - who then pays the taxes. So, I bought a vehicle and paid taxes on it, and I signed it over to the dealership or private party which doesn't sign the title (no taxes paid to state of IL), but then the dealership or pp sells it to customer A, B, or C - who then pays the taxes. So, I owned it (briefly), and the dealership owned it (but never signed the title), and customer A, B, or C owned it, but only I and the dealership's customer A, B, or C paid taxes to IL. And, two out of three isn't enough. Also, a variation of this this is done with used cars as well as new cars - and quite likely far more often with used cars. So, all those missing taxes add up, and the state of IL wants to stop it.

 

In Nova Scotia, we call those "convenience" sales. I know of one happening at our dealership right now.