Discussion:Lease vs buy

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Revision as of 00:32, 14 October 2009
Kevinh5 (Talk | contribs)
(of course, it wo)
← Previous diff		 Revision as of 03:23, 14 October 2009
JR1 (Talk | contribs)
(Well, many of us)
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{{ForumReplyPost|UserID=Kevinh5|Date=14 October 2009|Text=of course, it would be good to have business use. Unless you travel from client to client it would be hard to see where you would get enough business use percentage in a traditional tax/accounting practice, though. Most of us use the standard mileage rate for taking deposits to the bank and picking up supplies at Office Depot. }} {{ForumReplyPost|UserID=Kevinh5|Date=14 October 2009|Text=of course, it would be good to have business use. Unless you travel from client to client it would be hard to see where you would get enough business use percentage in a traditional tax/accounting practice, though. Most of us use the standard mileage rate for taking deposits to the bank and picking up supplies at Office Depot. }}
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 +{{ForumReplyPost|UserID=JR1|Date=October 14, 2009|Text=Well, many of us work from home, so leaving IS biz...I wonder what the percentage is that have an office away?}}

Revision as of 03:23, 14 October 2009

Discussion Forum Index --> Advanced Tax Questions --> Lease vs buy
Discussion Forum Index --> Tax Questions --> Lease vs buy

JordanCPA (talk|edits) said:

13 October 2009
I have a leased car which is 2 years old which I have been writing off. The lease is going up and I am thinking of buying the car. How does one determine which is better to lease again or buy .

I do not put a lot of mileage on the car. Is the first year depreciation the same for a car I leased and now I am going to depreciate?

Blrgcpa (talk|edits) said:

13 October 2009
How can you write off something that you don't own?

Kevinh5 (talk|edits) said:

13 October 2009
oh my, BlrgCPA, is that what you tell your clients who rent business equipment and office space?

JR1 (talk|edits) said:

October 14, 2009
OK, Jordan. Seriously, this is what your clients ask...and you don't have an answer?

Short answer tho'...the bottom line is that over time, the write offs for leasing or buying are identical unless you're an employee where you can't write off interest on a loan. Now, leasing generally gets you quicker write offs unless there's some bonus deal in play from IRS. And if you like more expensive cars, you definitely get better write offs with a lease much much faster since the lease tables are a joke and don't come even close to balancing the luxury auto rules between lease and buy.

Kevinh5 (talk|edits) said:

14 October 2009
of course, it would be good to have business use. Unless you travel from client to client it would be hard to see where you would get enough business use percentage in a traditional tax/accounting practice, though. Most of us use the standard mileage rate for taking deposits to the bank and picking up supplies at Office Depot.

JR1 (talk|edits) said:

October 14, 2009
Well, many of us work from home, so leaving IS biz...I wonder what the percentage is that have an office away?
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