Tax on NYS Lease is driving me nuts
I am calculating a lease for a 2011 BMW 335is coupe:
Cap Cost: $55,000 (I am paying $500 over invoice but there is a cash back of $1,495)
I calculate the lease payment without tax at: $646.27
I calculate the tax as: $2,006.66
I calculate the lease payment with tax as: $704.72
The dealer caclulates the lease payment with tax as: $710.24
He calculates the capitalized taxes at $2,197 (which is why the higher payment). He says that if I pay the taxes up front, he gets the same numbers I do.
Am I wrong or is he?
OK, Never mind. I figured it out. NYS charges Tax on the Tax when you roll it into the lease.
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