[springerdrive]

Originally Posted by jlapicki

......did the dealer keep your equity as a deposit on the new car or cut you a check?

Originally Posted by jg4c

I assume the dealer already gave you a check for the full trade in value, when you traded your car in early?

Our invoice shows a trade allowance of $38,600, however, we owed about $39,161, so we paid the difference. So no equity into our pocket, but the trade amount should still reduce our tax bill?

[jg4c]

Originally Posted by springerdrive

Our invoice shows a trade allowance of $38,600, however, we owed about $39,161, so we paid the difference. So no equity into our pocket, but the trade amount should still reduce our tax bill?

Absolutely. Tax credit on trade in value, is tax credit. Period.

That not reflected in your invoice/contract?

[springerdrive]

Originally Posted by jg4c

Absolutely. Tax credit on trade in value, is tax credit. Period.

That not reflected in your invoice/contract?

[jg4c]

Originally Posted by springerdrive

What's the sales tax rate in NC? That $815 tax looks pretty low.

[VICG20M]

Originally Posted by jg4c

What's the sales tax rate in NC? That $815 tax looks pretty low.

I was thinking the same something may be wrong there. Is this a lease or purchase?

[jlapicki]

Originally Posted by VICG20M

I was thinking the same something may be wrong there. Is this a lease or purchase?

Sales tax on autos in NC is only 3%.....therefore $800 is about right for the tax on the net amount...

[springerdrive]

Originally Posted by jg4c

What's the sales tax rate in NC? That $815 tax looks pretty low.

Originally Posted by VICG20M

I was thinking the same something may be wrong there. Is this a lease or purchase?

This is a purchase. NC sales tax is 3%. Here's how they got to $815.04:

65,069 Total Purchase - 38,600 Trade Allowance = 26,469 Trade Difference + 699 Dealer Admin = 27,168 x 3% = 815.04

I'm not sure why they're taxing the Dealer Admin Fee.

[springerdrive]

Originally Posted by springerdrive

I'm not sure why they're taxing the Dealer Admin Fee.

Here's why:

Effective October 1st, 2014, Dealer Admin and Doc fees are now taxable as are any other fees described in GS 20-101.1 (administrative, origination, documentary, procurement, or other similar administrative fees). The tax rate is 3% for all vehicles for which a certificate of title is issued.

[jg4c]

Originally Posted by springerdrive

Here's why:

Effective October 1st, 2014, Dealer Admin and Doc fees are now taxable as are any other fees described in GS 20-101.1 (administrative, origination, documentary, procurement, or other similar administrative fees). The tax rate is 3% for all vehicles for which a certificate of title is issued.

Well, then that all makes sense. Damn, that's a low tax rate. Enjoy the savings.

NY is close to 9%.