Illinois Car Trade-In Tax Credit Law
Illinois tax laws have recently changed, and there’s truly never been a better time to trade-up to a new Honda. As of January 1, 2022, car buyers receive a full tax credit on vehicle trade-in. Public Act 102-0353 has amended the Retailer’s Occupation Tax Act and the Use Tax Act, removing the previous $10,000 tax exemption limit on vehicle purchases previously enforced by Public Act 101-0031.
If you’re in the market for a new car, you can get the most out of your money by receiving a full tax credit on your trade-in. For example, let’s consider you have a 10% tax rate and a trade-in worth $20,000. You can now receive a tax credit as high as $2,000 on your new vehicle. In the past, the considered value was capped at $10,000 for all vehicles, so you could only receive a maximum credit of $1,000.
Check the value of your trade-in with our online form, then shop new hondas to get the best deal out of your trade today!