The Tax Max 4th Quarter Sales Program gives you, the car dealer, the ability to take a customer’s most recent paycheck stub and use it to sell a vehicle in OCTOBER, NOVEMBER, DECEMBER, JANUARY AND FEBRUARY based on the anticipated refund. Our easy-to-use program will generate the estimate and the Promissory Note within 90 seconds!
The shift in the market has moved tax season from the traditional months of January/February to October/November/December. This program will give you the ability to capture those valuable tax season customers before the competition, and allow you to OWN THE MARKET!
Several innovations have been developed to help the 4th Quarter Sales Program be successful for Tax Max dealers. The following Do's and Don'ts are proven methods by which you can successfully use the 4th Quarter Sales Program:
NO! The taxpayer MUST return with their W2's as the IRS requires W2's in order to file a tax return. Tax Max only has access to funds once a return has been filed to the IRS. But, our dealers have had a 90-95% success rate with these deals.
If the customer is a good customer but had a problem coming back with their W2's or had a problem with their tax return, RE - WRITE their loan and use the existing equity as the down payment.
DMS Provider. Use a DMS provider that has the ability to implement Irregular/Seasonal Payments in their system. Current, approved Tax Max DMS providers are iDMS, Auto Master, AutoStar, Deal Pack, Finance Express and Wayne Reaves. Please contact Tax Max for more information on Irregular/Seasonal Payments.
Set the expectation with the customer. Make sure your customers understand that they are required to return with their W2's to fulfill their obligation with you.
Be active with the program. Make sure you and your employees make Tax Max part of your business plan and your dealership will be very successful.
Educate your employees. Employee education is the key to making this program successful. Be sure that each employee (salesman, collections agents, janitors, etc.) is aware of the program and know how it works. We have provided some great training videos that will explain the process from start to finish.
Attend FREE webinar. These webinars are offered beginning Oct. 1 - Jan. 10. You and your employees will learn the most current ways to succeed in using the Tax Max Program. We also have pre-recorded training videos for you to view at your leisure.
Provide an incentive for your customer's to come back with their W2. Something as simple as movie tickets, a gift card or free oil change will provide your customers with something tangible that they have to look forward to when they return. Tax Max dealers have had success with incentives as simple as a flashlight.
Giveaways. Something as easy as the chance to win a TV is a great tool to draw customers to your lot and will provide them an opportunity to not only leave with a car, but a chance to win a FREE TV.
Pre-load your tax deals. Begin entering your client's information in to the 1st Quarter Program and let the customer know that "Today is (enter today’s date) and we have already started your taxes".
Have a competition. Set-up a competition amongst your employees, sister lots, members of your Twenty Group and other industry friends to see who can move more vehicles with the tax program.
Pre-Season Payments. Require the taxpayer to come in every week or two weeks for mandatory payments until the customer comes back with their W2's and you receive their tax refund down payment. Not only does this allow the dealership to maintain regular contact with the taxpayer, it also creates customer equity to reduce dealer risk.
Customer Matched Refund Advance. Several dealers had success with this down payment assistance approach by requiring that the customer match a percentage of the Tax Refund Advance before releasing the vehicle. For example, a customer will have to bring in a percentage of the Tax Refund Advance as a condition of eligibility ($250 down = $750 deferred tax down payment for a total of $1000 down payment). Customer returns later with their W2's to apply their refund to the $750 deferred Tax Refund Advance.
Hold Check. Several dealers will allow a Tax Refund Advance but the taxpayer must write the dealership a hold check for the amount of the Tax Refund Advance. When the customer returns with their W2's and the dealership receives the money to complete the process, the dealership will return the hold check to the taxpayer.
Limit Liability. Several dealerships that use outside financing will limit the amount of the Tax Refund Advance to only $500 - $1000. The dealership is paid in full for the car minus the Tax Refund Advance by third party financing, which means the dealer has been paid their profit minus the small Tax Refund Advance. When the customer returns with their W2's, the dealership receives the remainder of their profits. Using this method guarantees the sale of the car, while receiving payment and only risking a small part of the profits.
Use the Program with Prior Customers. Several dealerships use the 4th Quarter Sales Program EXCLUSIVELY for prior customers that were in good standing. These are GREAT CANDIDATES for this program as they should be low risk since you have already established the relationship.
Use Starter Interrupt Devices. These devices can be used to manage the customer's behavior and help ensure that the customer maintains payments and other agreements. This technology can be used with the 4th Quarter Sales Program as well as with ANY deal where the dealer feels the need for extra protection.
Move Old Inventory. For your customers taking advantage of the 4th quarter program using a deferred down payment, provide them limited choice of vehicles which include your old inventory.
Collections. Call past dues in December & January to use the tax refund to catch up the account, get a 2nd down payment or pay off the vehicle.
Call the Treasury Offset Call Center. Call 1-800-304-3107 to see if there are any liens (back child support, delinquent student loans, state tax liens, or any other federal debt) that can reduce the tax refund.
Use the Drive Now Network. Receive real time tax season leads as early as October. Click here for more details.
Don't - Use the entire tax refund. By only taking a portion of the tax refund your customer will leave feeling that you have treated them fairly and are not trying to take advantage of them. Also, if the customer thinks you will keep the entire refund, they will be more likely to file their taxes elsewhere, breaking your agreement.
Don't - Just hang your banners and assume customers will flock to your lot. Tax Max provides a $25 OFF coupon that you can print out and we suggest handing this coupon to each and every customer that walks on to your lot beginning October 1. Also make sure that you add the tax promotion to existing advertising and have all employees educating and mentioning the promotion to all customers.
Don't - Wait until January. Tax season has shifted and the time to capture the market begins during the 4th quarter of the year. October, November & December are your time to capture those all important tax season dollars before that money gets spent down the street.
Don't - Send them off the lot. You spend so much time and money to get the customer to your lot that if they are ready to purchase a vehicle why would you send them off the lot? Once you send the customer off the lot you lose control of the deal and the money. By keeping the customer on your lot you are in control from start to finish and until that tax refund check is in your hand!
Don't - Be Afraid. Our easy-to-use program walks you through the process step by step.
Don't - Allow No Money Down Make sure you at least get a few hundred dollars down so the customer has some skin in the game.
Don't - Provide Cash Advances. While 98% of tax returns are funded, income tax refunds are not guaranteed.
DriveNowNetwork.com - Unlike other lead generation companies, the Drive Now Network is focused on capturing the all important tax season leads beginning in October. This focus, combined with our marketing experience and innovative approach, makes the Drive Now Network the industry leader in tax season lead generation.
The focus of the Drive Now Network is to specifically capture the customer's tax refund check as a down payment starting in October. Our extremely easy on-line application process takes no longer than 30 seconds and the lead is texted and emailed to your dealership in minutes, giving you valuable information to help close the sale the same day.
With the combination of the Tax Max 4th quarter on-line estimator and fresh leads from the Drive Now Network, dealers can now begin Tax Season in October! Most lead generator websites get you leads of customers who want cars. Drive Now Network gets you leads of customers who want cars AND have thousands of dollars!
MyFederalCheck.com – After submission of the 1st quarter tax documents, taxpayers can go to www.MyFederalCheck.com to check the most up to date status of their federal tax refund as well as view/print a copy of their federal and state tax return. This web site will be available 24 hours a day, 7 days a week so the taxpayer can check on their federal refund as many times a day as they wish.
SUGGESTION: You may want to put a link on your web site to MyFederalCheck.com as this will drive your customers to your web site to check their refund status!