Good Question: Should You Trade-In Your SUV?

What we need is the Fed gov to do something they are good at bail the consumer out.

We need a temp tax break that would allow owner who are now owe more on their autos than they are worth because the market to resale/trade a SUV or truck is so bad.

We could deduct the loss off our taxes. This would allow mor peolpe to by fuel efficent cars. The requirement would be that you have to purchace a new or used car that gets at least 25 mpg.

The dealer who takes the trade would be able to take a tax credit for any loss on resale of the trade in.

This would stimlate the auto industry.
The taxes paid on the new car would off set some of the tax credits.
It would end up reducing fuel consumption and gas demand.

It would be a limited process of 12-24 months.

That is a great plan.

We could also stimulate the US auto makers, GM, Ford etc if we could take a tax deduction for part of the intrest on auto loans but only if it was one of the us auto makers. This would give them an edge in sales.