LANSING (WKZO) — A new state audit shows Michigan is losing millions of dollars in tax money on undervalued used car sales. Auditors say the state could be losing between nine and 36.5-million dollars a year by collecting six-percent tax on cars they are undervaluing.
Car buyers are required to report the sales price with the Secretary of State when they register it., but the state is responsible to collect the tax on whichever is higher between the sale price or the value of the car.
