Transcript

Sales Tax on a Lease Buyout · The Lease End Minute

0:00
Joe: This is the Lease End Minute. I'm Joe from Champion Auto Finance.
0:04
Joe: Quick one about taxes. When you buy out your lease, you're buying a car, and in most states that means sales tax or a similar vehicle tax on the purchase.
0:12
Joe: How it's figured varies a lot by state. Some tax the full buyout price. Some have their own vehicle tax instead of regular sales tax. And how your monthly lease payments were taxed can affect the math too.
0:24
Joe: So don't guess. Ask your leasing company and your lender to show the tax on paper before you sign, and add it to the number you're comparing.
0:32
Joe: Champion Auto Finance is not a lender. Approvals and terms are subject to lender underwriting.