Deal Pack Blog
Attention Michigan Dealers: New Sales Tax Credit on Vehicle Trades up to $2000
Effective December 15, 2013, up to $2,000 of trade allowance is exempt from sales tax. This will provide a sales tax reduction up to $120 for purchasers in 2014. The exemption limit will increase by an additional $500 each year, beginning January 1, 2015. The trade-in must be used as a reduction of the purchase price of a new or used motor vehicle, and that value is to be separately stated on the bill of sale provided to the purchaser. This also brings a change of disclosure on the RD-108 form and a new RD-108T form is provided. Please contact Deal Pack support at 1-800-526-5832 if you have any questions and to ensure your set up is in compliance for this new rule.