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firehawk1120 · 09-23-2007, 12:51 AM

I went to look at a new suv and the girl I was talking to asked me if I'd be trading in my car I told her it depends on what they were willing to give me because I still owe on it. She said if I trade it in at say 14,000 and but a car for 20,000 I'd only have to pay taxes on the difference of 6,000 and not on the whole 20,000. which in this example is 980 bucks instead of 1400.

i'm thinking if I can sell the car I'd need at least 1000 more then I owe to break even on the tax does that seem right?

09-23-2007, 12:51 AM	#1
firehawk1120 Join Date: May 2006 Posts: 1,357 iTrader: (1)	Any one know this?? I went to look at a new suv and the girl I was talking to asked me if I'd be trading in my car I told her it depends on what they were willing to give me because I still owe on it. She said if I trade it in at say 14,000 and but a car for 20,000 I'd only have to pay taxes on the difference of 6,000 and not on the whole 20,000. which in this example is 980 bucks instead of 1400. i'm thinking if I can sell the car I'd need at least 1000 more then I owe to break even on the tax does that seem right?