Before You Start. See Overview: Software Costs â Capitalize vs. Expense. For invoices having a combination of eligible and ineligible costs, a reasonable attempt to split the respective costs should be made and rationale should be documented. See Overview: Buying and Accounting for Capital Equipment for information on hardware expenditures.
Instead, you're focused on the price you pay overall, and if the dealer wants to include a doc fee in that price, then so be it. For instance, say you have a $30,000 budget and you're looking at a $28,000 car with a $500 doc fee. Add in a 7-percent sales tax, and this car costs $30,495.
Study Guide - Processing Fee. 1  The Processing Fee is: Required by law. Authorized by the Department of Motor Vehicles. 2  If a dealer charges a processing fee it: Must be posted in the public sales area. Cannot be more than $250. 3  The dealer processing fee is: Not subject to a tax. Subject to the 4% motor vehicle sales and use tax.