New 2020 Trade-In Tax

The New 2020 Trade-In Tax at Patrick Hyundai in Schaumburg


The New 2020 Illinois Trade-In Tax Law is Here!


What is the new trade-in tax?

The new Illinois trade-in tax law became effective as of January 1st, 2020. This new trade-in tax eliminates the tax benefit of trading in your vehicle.


What does this mean?

Before January 1st, 2020, Illinois collected no sales tax on the car’s trade-in value. Before, your car acted as an untaxed credit towards your new vehicle purchase. Starting on January 1st 2020, sales tax will be charged on any trade-in valued over $10,000.


Before January 1st, 2020 After January 1st, 2020
New Car Price: $65,000 New Car Price: $65,000
Your Current Vehicle Value: $38,000 Your Current Vehicle Value: $38,000
Trade-In Tax Credit: $38,000 Trade-In Tax Credit: $10,000
Taxable Amount: $27,000 Taxable Amount: $55,000
Tax Paid: $2,430 Tax Paid: $4,950
Total Cost: $29,430 Total Cost: $31,950



For instance, if you traded-in a vehicle valued at $38,000, before January 1st 2020, for a new vehicle valued $65,000, you would receive a credit worth your current vehicle value, and only be taxed on the difference.

Starting January 1st, 2020, you will only receive a trade-in credit of $10,000, instead of the value of your vehicle, making the taxable amount of your vehicle $28,000. Plus you will still be paying tax on the cost of your trade ($27,000), making the total taxable amount $55,000.

You can get the best estimated value for your vehicle right now at Patrick Hyundai.

 

Dealership Info

Phone Numbers:Sales Hours:
  • Mon - Sat9:00 AM - 5:00 PM
    (Temporary Hours)
  • SunClosed
Parts Hours:
  • Mon - Fri7:30 AM - 4:30 PM
    (Temporary Hours)
  • Sat - SunClosed
Service Hours:
  • Mon - Fri7:30 AM - 4:30 PM
    (Temporary Hours)
  • Sat - SunClosed
Patrick Hyundai is located at: 1020 East Golf Road • Schaumburg, IL 60173
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847-230-8220

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1020 East Golf Road • Schaumburg, IL 60173

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Today's Hours:

Open Today! Sales: 9am-5pm

Open Today! Service: 7:30am-4:30pm

Open Today! Parts: 7:30am-4:30pm

Patrick Hyundai

1020 East Golf Road Schaumburg, IL

Phone:

http://maps.google.com/?q=1020%20East%20Golf%20Road%20%231%2C%20Schaumburg%2C%20IL%2060173

Parts

Phone: 847-230-8222

1020 East Golf Road Schaumburg, IL

Sales

Phone: 847-230-8220

1020 East Golf Road Schaumburg, IL

Service

Phone: 847-230-8221

1020 East Golf Road Schaumburg, IL
42.051119 -88.053252
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Patrick Hyundai
Patrick Hyundai
1020 East Golf Road
Schaumburg, IL, 60173 US
https://di-uploads-development.dealerinspire.com/patrickhyundai/uploads/2019/11/PatrickHyundaiOGImage.png
Patrick Hyundai 42.051119, -88.053252.