Lease vs. Purchase

[jconley]

Try Carmax. They will buy your car for what you would get for trade in or a bit better.

Had a great experience with them selling my TT.

J

[eph94]

Originally posted by jconley
Try Carmax. They will buy your car for what you would get for trade in or a bit better.

Had a great experience with them selling my TT.

J

Unfortunately, the closest Carmax location to me is Baltimore/DC and I live in Massachusetts... I wonder if it would be worth driving down, selling, and flying back.

[btumble]

One added bit of info...
Here in NJ, the amount of a trade in is deducted from the purchase price of the new car when calculating sales tax. The $ I saved in tax made up for enough of the difference in price I would have gotten for my trade had I sold it personally.

[gregoryindiana]

My accountant here threw a bucket of ice cold water on leasing today. At least in my situation, it doesn't sound like even if it's 85+ % business use, that I can make financial sense of it, even though I would like the lower upfront cost. Something about taxable fringe benefit added to my W-2 , and that depending on fair market value of the car (RS6 = high value).

Is this such a bad deal because I'm having it leased by my company?? I would lease it personally, and then try to get reimbursed for the business portion of the expense, if I could. Is that what all you experts are talking about?

I never have leased, and would not have considered it if I hadn't been watching this thread. But I also don't need to get my clock cleaned in an audit.

[Bauer]

It may depend on what type of business you are in. The field I am in it is common practice to write off up to 85% of the lease. I have had gotten this information from two seperate accountants and I have done it for numerous years with no problems. Maybe getting a second or third opinion may not be a bad idea as more information is better.

Bauer

01 S8
92 S4
03 RS6 orderd

[jconley]

Originally posted by Bauer
It may depend on what type of business you are in. The field I am in it is common practice to write off up to 85% of the lease. I have had gotten this information from two seperate accountants and I have done it for numerous years with no problems. Maybe getting a second or third opinion may not be a bad idea as more information is better.

Agreed. I am not an accountant, and my adive would be ultimately to trust an accountant, but do get more than one opinion.

j