The reality of selling a late model used Kubota in today's market.

[mcmxi]

The difference between $45K with sales tax and $38.5 k without tax is $2925.
Where did the $9,200 number come from?

Assuming a new tractor in WA state where sales tax is 6.5%:

$45,000 + 6.5% tax = $47,700

$47,700 - $38,500 = $9,200

 

[fried1765]

What I have done in the past when listing something is first see what others are selling/sold for, more important are the sold for ones as they give the most realistic price. I did this for an RV back in 2019/2020. Listed it at the end of the season and it sat on RVTrader until late May when started getting hits on it and sold it for asking price in June. Little did I know it would be a hot market or I would have listed it higher and it would have still sold.

When I started research for a larger tractor, I gave some thought on selling my B2410 after purchase, so looked at the auction sites and sure enough, my tractor with backhoe is selling pretty close to what I paid for it 20 years ago.

Your asking price is not unrealistic, but is what the market demands today. In a year or two it may be a very different story, but today is a Sellers Market, and those who hold out, usually get what they ask for.

I have an L4060 HSTC on order, and looking at used, if found, usually 2015 models, the prices are less than $5,000 different between used and what I am getting new for, and those are models without the rear remotes installed. Tack on 6% finance rates and the end result is a much higher purchase price for used, so for those who can wait, they go with new, but those who need it now are your bread and butter.

Obviously we are in a very unique economic period....particularly for automobiles and tractors.
Here is an interesting historical perspective though.

In 1986 I bought a (16 yr. old) 1350 hour medium size (2 whl. dr.) Ford TLB for $10,000.
I added a manual thumb, and kept it for 33 years. I did a nice repaint just before selling with 1850 hours.
I sold it for $9,000 when it was then 49 years old.

The point I am trying to make here, is that a well kept tractor, no matter how old, CAN sell for almost what you paid, MANY years prior!

 

[mcmxi]

Would need to be ordered piece by piece through the parts department at prohibitive expense.

There might be other factors that make the addition of a cab on an open station MX near impossible without significant cost. For example, the oil dipstick is on opposite sides of the engine for the open station and cab models. This might be an insignificant issue but there could be other challenges even if an owner wanted to pay for the upgrade.

I haven't taken the time to compare every aspect of both tractors, but if I still have the tractor once the weather improves I'll take a closer look.

 

[GreensvilleJay]

curious... how does a state that doesn't have 'sales tax' get it's operation revenue from ??
I have to pay 13% tax on nearly everything even if bought out of province or out of Canada.

 

[mcmxi]

curious... how does a state that doesn't have 'sales tax' get it's operation revenue from ??
I have to pay 13% tax on nearly everything even if bought out of province or out of Canada.

" The State of Montana currently generates revenue from several different sources, with transfers from the federal government and state level taxes comprising more than 80 percent of tax revenue. Montana’s largest sources of tax revenue are income and property taxes, which comprise approximately 65 percent of state and local tax revenue. Unlike other states, sales and excise taxes comprise a relatively small portion of state and local tax revenue in Montana, at approximately 10 percent of total revenue. "

https://leg.mt.gov/content/Committees/Interim/2015-2016/Revenue-and-Transportation/Meetings/March-2016/DOR-sales-tax-memo.pdf

 

[hedgerow]

MCMXI It will be interesting how selling the MX-6000 will come out. I think when spring gets here you will get your price. Before I bought my new MX-6000 in June I looked a couple low hour used ones. A guy had a MX-5400 a few years old with hundred hours on it. He stayed fast on his price and it took a while but he got it. It was to close to what I paid for the new MX-6000 for me to buy it. I was buying cash so loan rates didn't matter price did to me.

 

[fried1765]

curious... how does a state that doesn't have 'sales tax' get it's operation revenue from ??
I have to pay 13% tax on nearly everything even if bought out of province or out of Canada.

There are 5 states with no sales tax.
Alaska, Delaware, Montana, New Hampshire, and Oregon.

Canada taxes are more similar to California and New York........one of many reasons people are fleeing those states.

I built/owned a Summer home from 2005 -2018 in Nova Scotia, where the HST was 15%.
I totally understand your pain!

I had a cargo trailer, and bought much in NH.
Only 5% "Canada" tax for seasonal residents crossing.

 

[jyoutz]

There are 5 states with no sales tax.
Alaska, Delaware, Montana, New Hampshire, and Oregon.

Canada taxes are more similar to California and New York........one of many reasons people are fleeing those states.

I built/owned a Summer home from 2005 -2018 in Nova Scotia, where the HST was 15%.
I totally understand your pain!

I had a cargo trailer, and bought much in NH.
Only 5% "Canada" tax for seasonal residents crossing.

I bought my tractor a few miles across the state line in Colorado. I was informed that they couldn’t charge me sales tax on the tractor because I’m not a Colorado resident. I didn’t argue with the dealer.

 

[GreensvilleJay]

re:
I had a cargo trailer, and bought much in NH.
Only 5% "Canada" tax for seasonal residents crossing.

sigh, shouldhave taken your NS trailer plate over the boarder, put on NH trailer, then returned and saved 5%. too late now but next time !

 

[58Ford]

Assuming a new tractor in WA state where sales tax is 6.5%:

$45,000 + 6.5% tax = $47,700

$47,700 - $38,500 = $9,200

Sorry but this is still incorrect. The Base Rate for WA is 6.5%. Then you add on any city or county taxes (and they all have their own rate - it’s a BS mess for business owners let me tell ya!) Vancouver adds on an extra 2% unless they are out in Clark County and then things get weird - I managed to get a business to business rate of 7.7% from Kubota because I don’t live in Vancouver.

That makes it even cheaper for those guys to purchase the tractor!

Some useless trivia for you: despite a huge budget surplus this year our Gov is still looking at ending our “No State Income Tax”. There’s not that many incentives to keep me here if he yanks it. I suspect the same for most.

 

[jyoutz]

Sorry but this is still incorrect. The Base Rate for WA is 6.5%. Then you add on any city or county taxes (and they all have their own rate - it’s a BS mess for business owners let me tell ya!) Vancouver adds on an extra 2% unless they are out in Clark County and then things get weird - I managed to get a business to business rate of 7.7% from Kubota because I don’t live in Vancouver.

That makes it even cheaper for those guys to purchase the tractor!

Some useless trivia for you: despite a huge budget surplus this year our Gov is still looking at ending our “No State Income Tax”. There’s not that many incentives to keep me here if he yanks it. I suspect the same for most.

No state income tax? Yeah Texas has no state income tax, but their property taxes, sale taxes are high. And they have

Sorry but this is still incorrect. The Base Rate for WA is 6.5%. Then you add on any city or county taxes (and they all have their own rate - it’s a BS mess for business owners let me tell ya!) Vancouver adds on an extra 2% unless they are out in Clark County and then things get weird - I managed to get a business to business rate of 7.7% from Kubota because I don’t live in Vancouver.

That makes it even cheaper for those guys to purchase the tractor!

Some useless trivia for you: despite a huge budget surplus this year our Gov is still looking at ending our “No State Income Tax”. There’s not that many incentives to keep me here if he yanks it. I suspect the same for most.

No state income tax? Yeah Texas has no state income tax, but their property taxes, sale taxes are high. And they have user fees for everything. You pay some form of taxes in every state, and it ends up being the same amount of money either way. My state is adjacent to Texas, and we have state income taxes, but other taxes are way cheaper than those in Texas and we have very few user fees.

 

[58Ford]

^^. Preaching to the Converted Brother!

 

[Newaterman]

No state income tax? Yeah Texas has no state income tax, but their property taxes, sale taxes are high. And they have

No state income tax? Yeah Texas has no state income tax, but their property taxes, sale taxes are high. And they have user fees for everything. You pay some form of taxes in every state, and it ends up being the same amount of money either way. My state is adjacent to Texas, and we have state income taxes, but other taxes are way cheaper than those in Texas and we have very few user fees.

bingo, my brother in law lives in New Hampshire and loves to go on about live free or die. Yet the property taxes on his McMansion in a town with next to no municipal services are absolutely eye watering. Worse even than the town I left on Cape Cod when we moved up the hill.
At the end of the day a lot of it comes out in the wash, but you can’t tell some people that.

 

[fried1765]

I bought my tractor a few miles across the state line in Colorado. I was informed that they couldn’t charge me sales tax on the tractor because I’m not a Colorado resident. I didn’t argue with the dealer.

I think this discussion is more about which states charge sales tax (internally), and those which do not.
MANY states do not collect tax on interstate sales.
THAT is a VERY different animal!

 

[jyoutz]

I think this discussion is more about which states charge sales tax (internally), and those which do not.
MANY states do not collect tax on interstate sales.
THAT is a VERY different animal!

My state does not collect tax on out of state purchases except for vehicles that must be registered.

 

[DustyRusty]

My state does not collect tax on out of state purchases except for vehicles that must be registered.

New Mexico does not have a sales tax. It has a gross receipts tax instead. This tax is imposed on persons engaged in business in New Mexico. In almost every case, the person engaged in business passes the tax to the consumer either separately stated or as part of the selling price.

 

[fried1765]

My state does not collect tax on out of state purchases except for vehicles that must be registered.

I believe that to be the case in all 57 states!

 

[hagrid]

@mcmxi

Post another ad on Craigslist for $40,499 and at the bottom put "NO LOWBALL OFFERS! I KNOW WHAT I GOT!" in all caps.

When the farters descend upon you and ask if you'll take less tell them "$39,500... that's as low as I can go. I'm already at inventory."

It'll work.

 

[jyoutz]

New Mexico does not have a sales tax. It has a gross receipts tax instead. This tax is imposed on persons engaged in business in New Mexico. In almost every case, the person engaged in business passes the tax to the consumer either separately stated or as part of the selling price.

Correct. So there is no mechanism for the state to collect sales tax on a tractor purchased tax free in another state.

 

[jyoutz]

New Mexico does not have a sales tax. It has a gross receipts tax instead. This tax is imposed on persons engaged in business in New Mexico. In almost every case, the person engaged in business passes the tax to the consumer either separately stated or as part of the selling price.

Also consider that the state has no sales tax but cities and towns do.