Tax benefits of leasing a used car?
Thread Starter
Senior Member
Joined: Sep 2003
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From: Bay Area
Tax benefits of leasing a used car?
I own my own business, and have written off a new leased car for the past 8 years. My question is - do you realize the same tax benefits when leasing a used car? I thought I'd heard somewhere the benefits were not as good as when leasing a new car. thanks.
kevin
kevin
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From: Treasure Coast
2018 Mclaren 720s, 2021 Aston Martin DBX
Tarry,
Since the big first year depreciation hit is over, wouldn’t the used car yearly residuals change from a new car lease?
If they do, as an example, how would be your numbers below change for a one year old e550. I assume MSRP would become sale price.
2007 E550 4dr Sedan / Compare Instant Lease Quotes
24 mo/15k mi – Residual Value 64% of MSRP – .00405 Base Money Factor Rate
36 mo/15k mi – Residual Value 52% of MSRP – .00370 Base Money Factor Rate
48 mo/15k mi – Residual Value 43% of MSRP – .00370 Base Money Factor Rate
60 mo/15k mi – Residual Value 36% of MSRP – .00370 Base Money Factor Rate
Since the big first year depreciation hit is over, wouldn’t the used car yearly residuals change from a new car lease?
If they do, as an example, how would be your numbers below change for a one year old e550. I assume MSRP would become sale price.
2007 E550 4dr Sedan / Compare Instant Lease Quotes
24 mo/15k mi – Residual Value 64% of MSRP – .00405 Base Money Factor Rate
36 mo/15k mi – Residual Value 52% of MSRP – .00370 Base Money Factor Rate
48 mo/15k mi – Residual Value 43% of MSRP – .00370 Base Money Factor Rate
60 mo/15k mi – Residual Value 36% of MSRP – .00370 Base Money Factor Rate
Former Vendor of MBWorld
Joined: Jan 2005
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From: Cincinnati, OH
Hard to say from the Captives (manufacturers) leases as their residual are usually artificially inflated.
You can see the difference here based on bank leases for new and one year old models: http://www.leasecompare.com/lease_quotes.php
Keep in mind that the '06 models are still considered "new" as far as how the residual value is calculated. If you wait until 1/07 you can then compare a new '07 to a used '06.
You can see the difference here based on bank leases for new and one year old models: http://www.leasecompare.com/lease_quotes.php
Keep in mind that the '06 models are still considered "new" as far as how the residual value is calculated. If you wait until 1/07 you can then compare a new '07 to a used '06.
MBWorld Fanatic!
Joined: Jun 2002
Posts: 1,436
Likes: 11
From: Treasure Coast
2018 Mclaren 720s, 2021 Aston Martin DBX
It sounds like it would be. You should be able to wait a couple of days to find out. If you have found your car, maybe give them a deposit to hold the car and see what they offer today and also what others can do and then check back with them the beginning of the week.
Former Vendor of MBWorld
Joined: Jan 2005
Posts: 583
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From: Cincinnati, OH
Here are the lease quotes for 2007:
http://www.leasecompare.com/quick_le...cedes+Benz+E55
BTW - this is a new quoting format. Please provide any feedback on functionality and ease of use.
Thanks in advance.
http://www.leasecompare.com/quick_le...cedes+Benz+E55
BTW - this is a new quoting format. Please provide any feedback on functionality and ease of use.
Thanks in advance.
