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Elon Musk to the People of New Jersey

posted by janrinok on Monday March 17 2014, @11:02AM   Printer-friendly
from the the-law-versus-commonsense dept.

c0lo writes:

"Following the ban on Tesla direct sale in New Jersey, Elon Musk wrote a message to the people of New Jersey on the Tesla Motor's blog, explaining why they don't want to go through dealers and what will happen next with the stores in New Jersey. To put a context around the issue: Tesla soared in consumer satisfaction, while Ford dropped and it's likely to continue dropping.

The post:

  1. explains why Tesla don't want to sell through dealers, claiming a conflict of interest between selling and servicing gasoline and electric cars.
  2. explains what will happen with their presence in New Jersey; the stores will be transformed into showrooms, with no info on price being offered, and servicing will not be impacted by the new regulation.
  3. tells people what they can do - buy online and receive the car delivered interstate or buy from across the river in Manhattan; They can also contact their representatives if they want back the right to buy directly from a store."
 
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  • (Score: 2, Insightful) by Leebert on Monday March 17 2014, @07:02PM

    by Leebert (3511) on Monday March 17 2014, @07:02PM (#17755)

    The sales tax thing doesn't apply here. When you buy a car, you have to pay sales tax based on your residence location, not where the dealership is located.

    Incorrect. You pay sales tax based on where the transaction occurred. HOWEVER, many states have reciprocal agreements in place for things like car sales.

    Then you get into fun things like use taxes. "Oh, no, that's not a sales tax for buying something in another state; that would violate the Commerce Clause. That's... uh... a USE tax, yeah. You have to pay that tax (which is coincidentally the exact same percentage as the sales tax) to USE the item in this state. And if you paid sales tax for the item, then we just go ahead and waive the use tax. See? PERFECTLY constitutional!"

    The whole thing is a crock.

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  • (Score: 2) by Grishnakh on Monday March 17 2014, @07:21PM

    by Grishnakh (2831) on Monday March 17 2014, @07:21PM (#17760)

    I see, that explains the car sales tax thing.