Talk of The Villages Florida - View Single Post - DeLuca Toyota
Thread: DeLuca Toyota
View Single Post
 
Old 07-23-2023, 08:59 AM
srswans srswans is offline
Senior Member
Join Date: Nov 2021
Posts: 198
Thanks: 1,912
Thanked 126 Times in 76 Posts
Default Factor In the Sales Tax Savings

Quote:
Originally Posted by Michael G. View Post
It's the trade-in that confuses most people….
Best way, (and I did this many times) is sell your trade yourself, even a little below market value….
I agree - taking the trade-in out of the equation simplifies the deal and reduces your chance of getting ripped off.

However, one needs to factor in the sales tax savings when considering skipping the trade-in: tax is computed after subtracting the trade-in value from the new car value.

If your trade-in is worth $30k, you’ll save $2100 in sales tax.

If you could sell old vehicle for $33k outright, then skip the trade-in process. Otherwise you may want to see what the dealership can do.

Of course, if your trade-in is only worth $3k, it is not worth the hassle - see if CarMax will buy the old vehicle.