This article will give information of a tax setting where the sales tax credit for trade ins will not exceed the sales tax for the unit/s being purchased by the customer
For example:
- Mr. Smith is buying a new unit and the Sales Tax payable on that new unit is $250
- Mr. Smith is trading in a unit and the Sales Tax credit on that unit is $275
- The Dealership cannot have the Sales Tax credit from the Trade In ($275) exceed the Sale Tax payable from the new Unit purchase ($250) and in this example, it will exceed it by $25
To stop the above scenario then you will need to enable the relevant Tax Setting
How to enable Trade In Tax Credit cannot exceed Unit Tax
- From the Blackpurl Header > click
and then select
- Go to Settings tab > General Settings > Trade tax credit cannot exceed unit tax
When disabled (as above) - there will be no limit on the amount of sales tax calculated for trade-in
To enable, move the toggle and there will now be a limit on the amount of sales tax calculated for trade-in
The sale tax credit for trade-ins will now not exceed the sales tax for the new units being sold
The sale tax credit for trade-ins will now not exceed the sales tax for the new units being sold
If you have made a change, don't forget to scroll down to find the
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Please note: If your Dealership has Tax included Pricing (our Dealerships in Australia and New Zealand) then this feature will not be available to you