Desertstraw said:
I do not know the source of information by some posters that you get the $7,500 benefit if you lease. It is not what IRS told me or what appears in this article:
Christian Science Monitor
By Laurent Belsie / July 31, 2010
Those who lease won't benefit from the hefty $7,500 tax credit. But sometimes, when first confronting a brave new world of technological change, it's OK to hedge.
I never wanted to get involved in a dispute about who is rich. My purpose in the original post here was to see if there are any flaws in the idea of having somebody who qualifies for the $7,500 deduction buy a Leaf on my behalf. There may be good reasons for leasing but I do not see cost saving as one of them. Under the announced lease cost, you would have to buy the car for about $11k after three years to match purchasing with the $7,500 tax credit.
Nissan is taking the $7,500 if you lease and it reflects in the lease pricing. You don't do anything tax wise for that $7,500 if you lease.
MRSP for a SL is roughly $33,800. A lease on a $33,800 car would run you around $450/mo. But Nissan is 'taking' that $7,500 deduction so the price of the car is now effectively $26,300, and the lease on a car at THAT price point is something like $350.
The $7,500 is a tax credit for those that pay more than that in federal taxes each year. If you buy a Leaf, you have to work out your taxes and, if you pay more than $7,500 in federal taxes, you'll get that amount as a credit. (or, it'll come back to you in a check, if you don't change your withholding at all). If you LEASE, you 'get' the $7,500 automatically because Nissan gives you that in the form of a price break on the car. The monthly lease price is based on the value of the car, which Nissan is discounting $7,500.
Confused??? :mrgreen: