Happy Memorial Day! Monday May 30th, 2022 | Sales: Closed | Service/Parts: Closed

ILLINOIS TAX LAWS HAVE CHANGED...
and there's truly never been a better time to trade up to a new car!
 
What Has Changed?
Thanks to a new law effective January 1, 2022, retail car buyers can now receive a full tax credit on their vehicle trade-in. Public Act 102-0353 has amended the Retailers’ Occupation Tax Act and the Use Tax Act to remove the previous $10,000 tax exemption limit on vehicle purchases previously created by Public Act 101-0031.
 
How Does This Benefit You?
Illinois car buyers can now receive a tax credit on the full value amount of their trade-in when purchasing a vehicle. In the past, the law only allowed the tax credit on a maximum amount of $10,000 when trading in a vehicle, even if the vehicle was worth more. This amendment now fully removes that cap so that new car buyers can receive a credit on the entire value of the trade being applied to the purchase.
Using a 10% tax rate as an example, a trade-in worth $20,000 can mean a tax credit as high as $2,000. In the past, the same car buyer could only receive a maximum credit of $1,000 due to the capped amount.
If you're in the market for a new car, not only is your vehicle worth more now than ever, but you can truly get the most out of your money by receiving a full tax credit on your trade. Shop with Volkswagen of Marion today and get top dollar for your trade!
 
HOW DOES THE NEW ILLINOIS TAX CREDIT WORK?
FULL TAX CREDIT
(CURRENT LAW)

Trade-In Tax Credit

NEW CAR SELLING PRICE

$45,000
Trade-In Tax Credit

TRADE-IN VALUE

$35,000
Trade-In Tax Credit

SALES TAX OWED

$625

Save $1,562.50 this year vs. last year!

CAPPED TAX CREDIT
(PREVIOUS LAW)

Trade-In Tax Credit

NEW CAR SELLING PRICE

$45,000
Trade-In Tax Credit

TRADE-IN VALUE

$35,000
Trade-In Tax Credit

SALES TAX OWED

$2,187.50

.

 

The best part? You don't need to do anything to receive the full tax credit! This will already be figured in at the time of purchase.

 

*Examples based on 2022 Illinois tax.

 

Still have questions?


We encourage you to reach out to our team of dedicated sales associates, and we would be more than happy to answer any lingering questions you may have before beginning the process of selling your vehicle to Volkswagen of Marion.

 
CONTACT US
Volkswagen of Marion 37.743768, -88.999469.