How are sales taxes applied to leases?
A. Sales tax laws can be quite different between states and localities. Most states simply apply the local sales tax rate to each monthly lease payment. Others want the tax paid up front, based on the value of the vehilce or the sum of all monthly payments. See Lease Fees and Taxes for more details.
A. Sales tax laws can be quite different between states and localities. Most states simply apply the local sales tax rate to each monthly lease payment. A few states want all sales tax paid up front, based on the value of the vehicle or the sum of all monthly payments. See Lease Fees and Taxes for more details.
