MrNiceGuy22

Just pulled the trigger on a 2016 demo Lariat, I really like the truck but just got caught up with all of the fancy features and now that I have them, I don't see the need to keep this expensive truck for the long haul. Long story short, I'm thinking of trading down to a used XLT to get a lesser equipped truck, and a cheaper vehicle in the long run. I'm coming from a 2008 supercharged silverado that didn't have much in the technology arena.

As this is only my second truck purchase in 9 years, I'm not very familiar with trading down and how that will affect sales taxes on the next purchase. I read another post that said if you trade up, you only pay sales tax on the difference of the price between the two vehicles, so if you traded in a 45k truck and purchased a 50k truck, you would only pay taxes on the 5k difference and not the full 50k purchase. How does this work when going the other way, say from a 45k truck to a 35k truck?

Thanks!

Undercover Brother

iTrader: (4)

Stop using the tern "investment", mass produced vehicles are a depreciating asset.

Speaking of depreciation, flipping so soon on that Lariat you just bought will be another big hit trading down for an XLT.

Enjoy what you have and quit worrying about having extra stuff you are afraid will break. If you are wanting validation for your reasoning, your reasoning is not what many would consider prudent or sound from a financial point of view.

senior 64

You better just keep it unless you paid cash. if you trade up you will pay the new tax and all fees including the payoff difference from your trade in. I went from a 2015 XLT to 2016 LARIAT that cost me more in fees and taxes including the apprised value and what I owed on the 2015. Yea I have more stuff on the new one, however would I do that again.HELL NO!!! You take a beating.

MrNiceGuy22

senior64, I'm not wanting to trade up, I'm wanting to trade down.

undercover brother, features aside, I just bought too much truck and want to trade down to a truck with less features, and thus a cheaper vehicle. Just wanted to get some input from some of you who have experience with swapping vehicles. I get that I'll take a hit on dumping it so soon, just not really excited with the purchase at the end of the day and feel like trading down would ease my mind. Just trying to weigh my options!

Does anyone know the answer to the trading down tax question?

tareed94

I'd go talk to a dealer about it. They should know the fees associated with all of this.

AricsFX

iTrader: (3)

taxes are state dependent. either way, a stupid move financially

redranger04g

I have an XLT, I'll trade you!

SCORGE

I have to try to dissuade you from that decision. Going upside down on a lesser equipped vehicle seems silly. The tech in these trucks is quite reliable. You only see negativity here because that's generally what these forums are for. I would say enjoy your nice Lariat and all it has to offer, seats start looking worn, get some nice covers. Just my opinion, but if you choose to downgrade then maybe you can work a deal somewhere. Maybe try selling privately to make a few dollars/break even first? Then get your XLT.

SteveLord

Only makes a little sense to downgrade to a vehicle that you won't owe anything on afterwards.

Otherwise, keep it.

kenv47

That`s a new one on me. Most folks trade up. Its your money, but I think you will take a bath on any kind of deal other than selling your truck privately & then going for the XLT.