Can I put my sales tax into my truck loan?

In our experience, it will depend on the structure of the financing you are looking at, whether it is a loan or a lease. Credit also plays a role in the transaction whereas the stronger the credit profile is, the more “soft costs” would be allowed in the transaction. If you are looking at a lease, your state will also play a role in how sales taxes are handled. Most state taxes would be on the stream, or included on your monthly payment each month. States like Delaware, Illinois, Maryland, Missouri, Nebraska, Nevada, New Mexico, North Carolina, Oklahoma, South Carolina, Texas, Vermont, Virginia and Wisconsin will ask for state taxes upfront. If you are looking at a lease option, the upfront sales tax will be paid to the state by the lender and will be included in the amount financed so this cost is spread out over the term of the lease. Typically with a loan, the amount financed is a percentage of the determined value of the truck so sales taxes are not included. Most LTV or Loan-To-Value percentages won’t exceed 100% of the MSRP, or Manufactures Suggested Retail Price of the vehicle.  Also if you are looking at a loan option, most loans require a down payment which is typically the difference between the estimated value of the truck and the sales price.



Dallin Hawkins
Director of Sales & Operations
Integrity Financial Groups
“Where Integrity Comes First!”
Phone: 801-386-8222
Direct: 801-386-8174
Fax: 801-880-0009

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