01-22-2024, 02:54 AM | #1 |
Captain
465
Rep 968
Posts |
Taxes on Rebates and Incentive in Lease?
Qns -
with BMWFS lease do you get charge tax on rebates and incentives? eg loyalty credit, loyalty cash, UDE etc or these are untaxed incentives? |
01-22-2024, 06:34 AM | #2 |
Private First Class
132
Rep 128
Posts |
I believe rebates and incentives are taxable meaning those get deducted after you pay tax on the vehicle price. Not sure if it varies by state, but my otd price according to quotes that i have gotten before showed tax amount was calculated with msrp minus discount. After that, the rebates/incentives was subtracted to get the final amount.
|
Appreciate
1
leasehackr465.00 |
01-22-2024, 09:02 AM | #3 |
Private
99
Rep 94
Posts |
It varies state by state - I know in NY incentives and any cap cost reduction are taxable.
There’s a good chart towards the middle of this article that tells you if your state taxes incentives or not: Edmunds - Fees Guide |
Appreciate
1
leasehackr465.00 |
01-22-2024, 10:13 AM | #4 | |
Captain
465
Rep 968
Posts |
Quote:
I picked up 24 X5 lease yesterday and got lease cash+loyalty credit+UDE = 3500 and old lease turn in trade credit of 4028. In the lease calculation I saw sales cap reduction taxes. hence I was just wondering if these lease incentive get taxed and then tax got added to the final lease payment since I did DAS $0. Rolled up all taxes, DMV, TTL, first month payment into the lease. |
|
Appreciate
0
|
Post Reply |
Bookmarks |
|
|