Is Selec-Trac worth trading in your 2020 Gladiator for a 2021?

guarnibl

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You factoring in paying taxes on two new car purchases? I would think that your 2020 would need to appreciate in value by $2,000-8,000 (depending on your local sales tax) in order for you to only be out $1,000. I live in an unincorporated county, and sales tax is around 3%, but within city limits it is 8%. Let's say your tax rate is 5%, and the JT costs $50,000; that's $2,500 in taxes on each new car purchase (for a total of $5,000 in taxes). If you are only out $1,000 then your 2020 appreciated in value by $4,000? Am I missing something here?
Yes you’re missing trade in tax credit in some states ( Arizona is one ). I did the same thing as OP and was out nearly the same, after taxes.
Not all states have that of course !
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ShadowsPapa

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Tufelhundin

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State = 4.450% add in locality and its 9.950% where i'm at .... some areas is up to 10.450%....
 

ShadowsPapa

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State = 4.450% add in locality and its 9.950% where i'm at .... some areas is up to 10.450%....
And you hit one reason some folks drive a ways to shop.
Luckily, where I'm at, vehicles are still 5%. I suppose to keep it manageable for those who must make big purchases, they need a car but can barely afford one, any more tax would make it out of the question.

Anywho - if I bought a truck for 50K, I paid the "tax" of 5% on that 50K.
If I go and trade it in on a 52K truck and I was allowed 49K for my trade, they'd take 49 from 52 and my cash price would now be 3K - I'd pay the 5% tax on that 3K.
So my cost to trade would be their BS doc fee (come on people, some things are just a cost of doing business - the doc fee is stupid), title fee (the cost of getting a new Iowa title for that truck which the dealer can't do anything about), the 3K plus $150 (which is the 5% tax on 3,000)
 
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berb

berb

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Mine is comparable to other trucks I've had. Put them on wet grass and they'd spin trying to go up a mild incline. The JT will do as bad with the H/T tires. The A/T tires do grip better.

One also has to consider the LSD option - if you have that you are more likely to fishtail. I have a study in my shop that proves that.
I do have the LSD with the HT tires.
I just find it interesting that the Wrangler JLU (Soft Top) with both the LSD and HT tires doesn't have the same issue. I know there is a weight difference and a wheel base difference, but it isn't that much of a difference,
 
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berb

berb

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You factoring in paying taxes on two new car purchases? I would think that your 2020 would need to appreciate in value by $2,000-8,000 (depending on your local sales tax) in order for you to only be out $1,000. I live in an unincorporated county, and sales tax is around 3%, but within city limits it is 8%. Let's say your tax rate is 5%, and the JT costs $50,000; that's $2,500 in taxes on each new car purchase (for a total of $5,000 in taxes). If you are only out $1,000 then your 2020 appreciated in value by $4,000? Am I missing something here?
Tax isn't a factor. I live in Maryland we only pay tax on the difference in price between the trade vehicle and the new vehicle. Since the Jeep market in my area is crazy right now I would only be paying tax on the additional amount of the new JT. It makes trading in an old car for a new car more affordable.
 
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berb

berb

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And you hit one reason some folks drive a ways to shop.
Luckily, where I'm at, vehicles are still 5%. I suppose to keep it manageable for those who must make big purchases, they need a car but can barely afford one, any more tax would make it out of the question.

Anywho - if I bought a truck for 50K, I paid the "tax" of 5% on that 50K.
If I go and trade it in on a 52K truck and I was allowed 49K for my trade, they'd take 49 from 52 and my cash price would now be 3K - I'd pay the 5% tax on that 3K.
So my cost to trade would be their BS doc fee (come on people, some things are just a cost of doing business - the doc fee is stupid), title fee (the cost of getting a new Iowa title for that truck which the dealer can't do anything about), the 3K plus $150 (which is the 5% tax on 3,000)
That is how it is in Maryland where I live.
 

Tufelhundin

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Post pics of your new JT on this thread when you get it! LOL!


Sounds like you've about decided.;)
 

guarnibl

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Tax isn't a factor. I live in Maryland we only pay tax on the difference in price between the trade vehicle and the new vehicle. Since the Jeep market in my area is crazy right now I would only be paying tax on the additional amount of the new JT. It makes trading in an old car for a new car more affordable.
It is in some states. Just like in Texas, if you lease a vehicle you have to pay the entire vehicle sales tax up front, and then if you buy the lease out, you pay tax again, haha.

Or, in Chicago -- there's an additional city lease tax. I think I was paying $350/month in lease tax on my M3 back in 2009. Was completely nuts.

And some states (Virginia being one of them) have personal property tax that impacts cars. Each state bends you over slightly different.
 
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berb

berb

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It is in some states. Just like in Texas, if you lease a vehicle you have to pay the entire vehicle sales tax up front, and then if you buy the lease out, you pay tax again, haha.

Or, in Chicago -- there's an additional city lease tax. I think I was paying $350/month in lease tax on my M3 back in 2009. Was completely nuts.

And some states (Virginia being one of them) have personal property tax that impacts cars. Each state bends you over slightly different.
Personal Property Tax in VA sucks. It's way too much. The car tax in Maryland is one of the few bright spots. Hell, at one point we were getting taxed for the rain.
 

RiverMtnBeach

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You seem to have been the only one who had that issue. It wasn't the drive system that messed with the tires.
We've had Jeeps with that option for years - tires last, never any drivetrain issues ever in any of them. Sure-footed in any weather or conditions.
The Cherokee/Commander platform doesn’t play well with lift kits.
 

FrankFrqnkFrank

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Just to make everyone else feel good except Tufelhundin, the place I’m trying to escape from has a 6.25% state sales tax PLUS a 2.75% county sales tax PLUS a 0.75% municipal sales tax for a total of 9.75%.
 
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