anotherlimey

I'm tempted by a car lease, obviously I'm doing all my homework first.

My question is - in Florida, what is the sales tax payable on?

Is it:

1) The full purchase price of the car (I think this is IL and TX only)
2) The monthly payment
3) The depreciation amount
4) No tax at all (I can hope can't I?)

Manc

you never own the car
leased rhymes with "fleeced" for for a reason
you have a mileage limit.

anotherlimey

Yeah I know, that has always held me back before.

I'm just trying to work out the entire lease cost over the lease period etc... so I can weigh up both options.

anotherlimey

Angry White Pyjamas

DONT DO IT!!!!

Seriously why lease and not buy? It'll cost you a fortune.

BritGuyTN

Car leases are a bad idea unless you want to buy a shit-box like a ford taurus which has hideous depreciation that leasing will mask from you

run away!!!!!!!!!

go and get a nice car loan at www.patelco.com at 5.25% (need experian FICO 660 or above)

if you can't afford payments over 5 years (preferably 3 or 4) then unless you have special circumstances, you are probably trying to live beyond your means, in which case leasing is even less desirable! keep your money - don't throw it away!

anotherlimey

That's the opposite of how it works; large depreciation = large lease payments because you pay for the depreciation.

Really I just wanted to know about the tax issue so I can work out the total cost of leasing myself.

anotherlimey

I wouldn't consider it normally, but they are doing an offer on leasing which seems reasonable at first glance; I'm just working out the exact cost of leasing so that I can get the best deal.

But, if it suddenly turns into a bad deal, I'll walk away.

Angry White Pyjamas

If it seems too good to be true.... (especially car dealers).

Have you checked this out at all:

http://www.leaseguide.com/lease03.htm

fatbrit

Only ever seen two people on this board in recent times firmly in favour of car leases for nearly all circumstances. They were both car dealers...
:scared: :scared: :scared:

anotherlimey

Yep, well similar webpages anyway; I experience the same dilemma every time I buy a car (only three previously).

I like the idea of putting the difference in payments away in a good savings account - but that might not be worthwhile in the current climate (I think my regular savings account is about 0.9%!).

anotherlimey

That's a good point, probably because it's easier to hide their profit in the deal (???).

They won't get away so easily with me, which is why this probably won't go through.

Big D

You are doing the right thing getting all the info before you make the decision. Look at the difference at the end of the day - lease you own nothing - but what is the car worth if you own it compared to the extra in finance charges? In the UK leases bombed cos the costs were too high - but PCP (with balloon payment and option to purchase) are all the rage - if you get a low depreciating car with the right payments you can even make money (BMW Z3/ Porsche Boxter were both money spinners when they first came out).

I admit to not really looking at it over here in the US - but work the numbers and see what works for you! Good luck!!

Angry White Pyjamas

I make a point of targetting the very things the salesperson tries to steer me away from rather than what they steer me to.

BritGuyTN

get an account with either

www.ingdirect.com - 3.75%
www.emigrantdirect.com - 4%

ing is a bit of a smoother experience by most accounts