# Vehicle Trade-In Tax Credit Worksheet — United States

> Keep the dealer trade allowance used in a confirmed tax rule separate from the equity remaining after the old vehicle loan is repaid. USD planning view; stated limitations apply.

Page: https://askcalculators.com/us/trade-in-credit/
Definition: https://askcalculators.com/us/trade-in-credit/definition.json
JSON Schema: https://askcalculators.com/us/trade-in-credit/schema.json
Version: 20.16.0
Maintained by: AskCalculators (software project; not a credentialed reviewer)
Qualified review: pending. Automated checks do not establish professional approval.
Page status: Live
Review status: Pending

## Use
Open the calculator page and enter values. Query-string parameters can restore and bookmark a calculation.
Example: https://askcalculators.com/us/trade-in-credit/?purchasePrice=35000&tradeAllowance=12000&oldLoanBalance=7000&salesTaxRate=6.25&creditPermitted=0&confirmedCreditCap=0

## Inputs
- purchasePrice: Taxable purchase price before trade allowance; type=money; required; default=35000; min=0; max=1000000000000
- tradeAllowance: Dealer trade-in allowance, not equity; type=money; required; default=12000; min=0; max=1000000000000
- oldLoanBalance: Loan balance to repay on traded vehicle; type=money; required; default=7000; min=0; max=1000000000000
- salesTaxRate: Confirmed applicable purchase tax rate; type=percent; required; default=6.25; min=0; max=50
- creditPermitted: Verified local rules permit this trade-in allowance to reduce this tax base; type=checkbox; optional; default=false
- confirmedCreditCap: Confirmed maximum allowance eligible for tax-base credit; type=money; required; default=0; min=0; max=1000000000000

## Outputs
- tradeEquity: Trade-in equity after old loan payoff; format=currency; primary
- eligibleAllowance: Trade allowance eligible under entered cap; format=currency
- taxableBase: Modeled taxable purchase base; format=currency
- salesTax: Modeled tax under entered rule; format=currency
- taxSaving: Tax-base credit saving; format=currency

## Formula
eligible tax-base credit = permitted ? minimum(trade allowance, confirmed cap, purchase price) : 0.

Inputs are converted to canonical units before evaluating this stated formula.

## Rules
- Empty optional inputs are undefined, not zero.
- Hidden conditional inputs are ignored.
- Do not invent missing required inputs.

Notice: Illustrative defaults are not local quotes or verified legal rules. Dated reference components and user-entered assumptions are explicitly distinguished. Professional review is pending.