Dealmaker is right, leasing a new car is like is like standing on the corner tearing up $100 bills every month. No matter what figures the leasing agent gives you, it is even worse than buying a new car that depreciates the second you drive it off the lot. I bought my last new car in 1962, DH bought his last one in 1967 (fully loaded BMW for $2600). The most I’ve ever paid for a car is 7k. I’ve been driving it 7 years (it’s a '92) & it still looks like every other vehicle in the parking lot. They’ll make it easy for you to sign on the dotted line for a new car, but it is YOU that has to earn all that extra $$$ every month, so it isn’t really all that easy–
My accountant is out of town til Monday and need an answer before then.
I am going to lease a car. Can I lease it in my company’s name and get tax benefits from this. Yes, this car will be used mainly for business. I have an LLC with another person.
Posted by dealmaker on August 24, 2005 at 13:06:26:
I’m NOT A CPA, just a very experienced investor, who has also spent most of his “working” life as a self-employed sale rep, with my own "company car.
I’ve NEVER found leasing to be a good deal! Mainly because buying a NEW CAR is NEVER a good deal. You don’t need to lease the car to get any tax advantages. Just keep contemporaneous records of the amount of business mileage versus “regular” mileage.
Been doing it that way for 25 years and never a question or problem with tax authorities!