"Trading in" your old Tesla for a new one.

[slam]

Hi everyone,

I know there are other threads talking about how Tesla only offers wholesale prices on their cards for trade-ins, and currently the used market prices are still well above that. I'm planning on "trading in" my Model-S for a new Model-X (whenever it's ready). A Chrysler dealership offered me $15k more than what Tesla was offering, and no requirement to buy a car from them.

I know a lot of people say trading it in to the "dealer" you get the trade-in value's tax deducted from the final price you pay for the new car, but a few people have told me that if you sell it to another dealer (who indends to sell it), you should still be able to get the tax deducted. It comes down to avoiding double-taxing the sale of the same car.

Has anyone done this sucessfully? ie. sell your old car to a used car dealership, and still be able to deduct the tax of the used car from the final sale price of the new one?

 

[Jgdixon]

Where are you located?
What you are referring to is a courtesy trade. That’s where Tesla gives you the value the other dealer offered and then wholesale it to them for that price. Most ICE dealers will do that for an extra fee. In Canada Tesla did that years ago for a $500 fee then increased it to $1000. Now they donMt do it any more.

 

[orangem]

I did a courtesy trade with Tesla back in 2013. Back then there was no service charge, now they simply won't do it and u are stuck with their low trade in... value...

 

[Tony_YYZ]

Yeah you’re not going to get that “tax incentive” unless you take the lower offer from Tesla which is financially unwise. You’re better off selling to the Chrylser dealer for $15k more.

 

[slam]

I'm in Mississauga @Jgdixon. Yeah, I think it's called a "coutesy trade" like @orangem says. Shoot... if they don't do it any more then that sucks. As @Tony_YYZ says, I'm better off trading it into the Chrylser dealership, and I'm still ahead without the "tax incentive".

Thanks for advice everyone!

 

[Jgdixon]

Consider joining Tesla Owners Club – Ontario

 

[Shrktank]

Hi everyone,

I know there are other threads talking about how Tesla only offers wholesale prices on their cards for trade-ins, and currently the used market prices are still well above that. I'm planning on "trading in" my Model-S for a new Model-X (whenever it's ready). A Chrysler dealership offered me $15k more than what Tesla was offering, and no requirement to buy a car from them.

I know a lot of people say trading it in to the "dealer" you get the trade-in value's tax deducted from the final price you pay for the new car, but a few people have told me that if you sell it to another dealer (who indends to sell it), you should still be able to get the tax deducted. It comes down to avoiding double-taxing the sale of the same car.

Has anyone done this sucessfully? ie. sell your old car to a used car dealership, and still be able to deduct the tax of the used car from the final sale price of the new one?

In the State of Missouri you pay tax on the net increase in car values. For instance if the new vehicle sales price is 50,000 and the trade in was 43,ooo then I pay tax on the 7,000 increase in car value.

Does not matter where the trade or sale of your old car was at

 

[ecarfan]

In the State of Missouri

This is the Canada forum. @slam is located near Toronto.

 

[mrexcuse]

Consider joining Tesla Owners Club – Ontario

Does the club facilitate trades or help with OPs situation?

 

[Goulag]

I’m in Manitoba, but I think what you’re looking for is an RST refund (retail sales tax). I had to pick up and buy my Tesla from Saskatoon where they didn’t charge me the PST portion, only the GST. When I registered it in Manitoba a couple days later, I had to pay the PST portion. Then I applied for the RST/RST refund on the old car I sold in Manitoba. Took a few months, but I did get the sales tax back on the portion of what I sold my old car for.

 

[Jgdixon]

Does the club facilitate trades or help with OPs situation?

We do have a few sponsors that buy used cars

 

[mrexcuse]

We do have a few sponsors that buy used cars

Good to know - Thank you

 

[mccauler]

Consider joining Tesla Owners Club – Ontario

Do you have a marketplace area in your club to connect private sellers and buyers?

 

[Jgdixon]

Do you have a marketplace area in your club to connect private sellers and buyers?

Yes in our Facebook group