update..a leasing program for the v.

[Razorecko]

Hey guys i just wanted to give you a heads up from the owner of the dealer where i pre-ordered my V has just told me that as of currently leasing programs will be done for the V2 through US BANK. I'm glad something is in place for us business owners.

[CTS-V-TWIN]

Originally Posted by Razorecko

Hey guys i just wanted to give you a heads up from the owner of the dealer where i pre-ordered my V has just told me that as of currently leasing programs will be done for the V2 through US BANK. I'm glad something is in place for us business owners.

Good luck with US Bank. I checked their rates and since they are the only ones offering a V2 lease, their rates weren't good when I checked them out. Their rates for a lease are higher than what I was quoted on a purchase.

SG

[Razorecko]

untill gmac gets their sh*t togethor us bank will do. If the entire lease amount is tax deductible i dont care if its more than purchase price because it wont be coming out of my pocket. =)

[Dr Chill]

How is a lease tax deductible? I suppose you mean you are paying the lease payments with pre-tax dollars, right?

[Razorecko]

^ it would be a vehicle leased under a business

[Heavychevy1]

Originally Posted by Razorecko

^ it would be a vehicle leased under a business

I'm about to purchase a business and could use some advice on doing the auto tax deduction thing. How do you make it safe where you don't have to worry about audits. I have a friend who bought a SL500 or something (NEW!!!) for his business which was dump trucks or something like that. That seemed a bit much to me.

Do you use the standard mileage rate or actual usage or purchase the vehicle in the business name and subtract personal miles.

I'm trying to figure out the best way to go about doing it. Any help would be appreciated.

[Razorecko]

Your best bet is to talk to your accountant. They will be able to fill you in with all the details and keep you updated with the constantly changing IRS laws. And I do mean changing. They change the business tax laws like every other week it seems.

[Dr Chill]

Originally Posted by Razorecko

^ it would be a vehicle leased under a business

As I suspected. You are paying for the lease with pre-tax money. This effectively reduces the cost of your lease by whatever % your tax rate is. This is clearly superior to ownership by the business with write-off of depreciation and usage costs (unless it is a truck or large SUV).

[Razorecko]

Originally Posted by Dr Chill

As I suspected. You are paying for the lease with pre-tax money. This effectively reduces the cost of your lease by whatever % your tax rate is. This is clearly superior to ownership by the business with write-off of depreciation and usage costs (unless it is a truck or large SUV).

You are correct. We used to purchase trucks/suv's under the business but recently the guidelines were changed where a much smaller percentage could be written off. So than we went over to leasing which is a much better option. A perk of being a business owner.

[Kadonny]

I always leased my cars, but unfortunately I got my V when there were not leasing programs available. Although I lose some tax deduction by owning, I figure I make it up because I will own the car and get money back when I sell it. My purchase payment is about the same as my old lease payment.

[Jpjr]

Leasing a vehicle was the greatest deal on the planet for most of this decade. Any time you can avoid purchasing a depreciating asset without undue cost, do it.

[CadV]

Originally Posted by Jpjr

Leasing a vehicle was the greatest deal on the planet for most of this decade. Any time you can avoid purchasing a depreciating asset without undue cost, do it.

Glad someone else sees it. There are a lot of leasing is from the devil people on this board.

[Razorecko]

^ thats what i always thought when i was alot younger. But with age and business expierance you realize that its almost senseless not to lease.

[Kadonny]

Originally Posted by Razorecko

^ thats what i always thought when i was alot younger. But with age and business expierance you realize that its almost senseless not to lease.

Well....."senseless not to lease" takes it a bit to extreme. There are advantages and disadvantages. More advantages are there for businesses, but it still makes money sense to buy if you get a real good interest rate. Remember lease rates are typically a higher finance percentage than buying, but many times this higher rate is offset by tax savings.

Still, it's a case by case basis which is better, you have to run the numbers each way.

[CTS-V-TWIN]

My monthly payment to purchase is: $842.00

My monthly payment to lease would be: $1100.00-$1200.00

If I could have leased my V, I would have, but since i am going to keep the car for a good amount of time, it made more sense for me to purchase it.

SG