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Applying the Trade-in Tax Credit in Desking
Applying the Trade-in Tax Credit in Desking

This article will help you understand how to apply the Trade-in Credit in Desking.

Genius avatar
Written by Genius
Updated over a year ago

When you are using DriveCentric's Desking Tool, there are a few Tax Setting options that you can adjust for your Active Desk. One of those options is to apply a Trade-in Tax Credit for your deal if the customer is trading in a vehicle that they own (this would not be applicable for Lease turn-ins).

There are two options for establishing the Trade-in Tax Credit in your Desking Tool:

  • Option 1: You can perform this on a deal-by-deal basis in the active Desk

  • Option 2: You can establish a Tax Market for a specific state and choose to apply this Trade-in Tax Credit by default on each deal you desk where the customer has a Trade-in attached to their Open Deal

Let's discuss each option in more detail below!

Option 1: Trade-in Tax Credit on a Deal-by-Deal basis

If you want to apply a Trade-in Tax Credit for specific deals you are desking, you can follow these steps below to have it reflected in your active desk:

  1. Open the Active Desk for the Customer and ensure the Trade-in vehicle is entered into the Desk.

  2. Once confirmed, click on the Green "Taxes" icon to open your Tax Settings for the specific deal you are working.

3. Once the Taxes screen loads, you will be looking for the column labeled "Taxes" on the left of the screen and will toggle the slider on for the value "ApplyTradeInCreditAllowance" and then click the "Save" icon on the bottom of the Taxes screen.

4. Once saved, you will need to recalculate the Desk to apply the Trade-in Tax Credit to the Desk. Once the desk is recalculated, you will see the Trade-in Tax Credit applied in the Taxes line for the Desk.

Option 2: Trade-in Tax Credit at a State Tax Market level

Please note: When changing your State Tax Markets in your Desk Settings, this will apply for any new deal you are desking. Any desks that you have already started with your previous Tax Markets will have your old Tax configurations in use. To update these, go into each applicable deal and click the "Taxes" icon in the Active Desk to update the Taxes to your new settings established.

  1. Open any Desk (even a Quick Desk) to locate your Desk Settings.

2. Once you have your Desking Settings open, navigate to the "Taxes" tab. From here, if you do not have a Market showing on the left portion of the screen, click the drop-down for "Add New Market" and select the State Tax Market you would like to add. Once it's added, you have the option to choose if this is your Home Tax Market by clicking the House icon next to the State.

3. If you want to keep the "ApplyTradeInCreditAllowance" toggle enabled for all deals you are desking moving forward for the specific State Tax Market, you will want to use the drop-down for the "Use Zip Lookup" and select the "Rates Only" option.

Please Note: Using the "Use Zip Lookup" option of "Rates Only" will automatically pull the Tax Rates for the customer from this state, but allow your Option Toggles (ex. ApplyTradeInCreditAllowance) to stay enabled or disabled based on the options you enable in your State Tax Market settings.

4. Now that you have your State Tax Market Settings updated, click the "Save" icon on the bottom right corner of the screen and your settings will be established for all new Desks you start in the tool.

Please note: When changing your State Tax Markets in your Desk Settings, this will apply for any new deal you are desking. Any desks that you have already started with your previous Tax Markets will have your old Tax configurations in use. To update these, go into each applicable deal and click the "Taxes" icon in the Active Desk to update the Taxes to your new settings established.

If you have any questions, please reach out to your Customer Success Team by clicking on the Support Icon found in the bottom right-hand corner of DriveCentric!

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