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Work-around for no trade-in tax sales tax break?

chipcaldwell

Member
Joined
Dec 26, 2021
Messages
17
Location
Chattanooga, TN
Vehicle(s)
Grand Touring
Since Lucid offers no trade-in like Tesla, my extra cost is $5K to buy Lucid GT vs Tesla Model X. That is, TN taxes on new car px minus trade-in $$. They get that info on the sales contract & do not allow you to deduct the old car price if you sell independent of trade-in nor self-reporting There must be a work-around. Thoughts?
 

manitou202

Well-Known Member
Joined
Nov 2, 2021
Messages
210
Vehicle(s)
E-tron, Polestar 2
I face the same issue here in Colorado where my sales tax on a new vehicle is 9.03%.

However keep in mind even if Lucid were to offer trade-ins, if they aren't offering competitive prices it doesn't matter anyway. Tesla is notorious for low-balling trade-ins. So when we bought our Model X it was better to simply trade-in our car to Car Max and not get the sales tax credit, because Car Max gave us substantially more money than Tesla.

We will be selling our Audi E-tron when we pick up our Lucid GT, and our plan is to trade it in at Car Max or a local dealership.
 

Paladin732

Expert Member
Joined
Nov 21, 2021
Messages
637
Vehicle(s)
Taycan
DE Number
295
Look up rates from carvana, vroom, and shift.

All three often have fantastic rates.
(Note: this is coming from someone in CA where we don’t get the awesome tradein tax discount)
 
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