[kingofqueenz]

I am planning to take over a BMW lease from someone and I would like to know if I have to pay taxes on it if he already paid the taxes upfront?

He is located in long island and I am in Queens if that makes a difference.

From what I have been reading, in NY, you have to pay taxes upfront and they can't be rolled into your payment, therefore, when reregistering the car to get my own plates on it, the DMV may ask for me to pay taxes on the remaining payments...

[Cleanasscoupe]

In my past experiences... BMW adds the tax to your first month payment and they will give you a letter that you bring to the DMV stating this...I have never paid the taxes directly to the DMV...

[TwinTorque]

Originally Posted by kingofqueenz

I am planning to take over a BMW lease from someone and I would like to know if I have to pay taxes on it if he already paid the taxes upfront?

He is located in long island and I am in Queens if that makes a difference.

From what I have been reading, in NY, you have to pay taxes upfront and they can't be rolled into your payment, therefore, when reregistering the car to get my own plates on it, the DMV may ask for me to pay taxes on the remaining payments...

Whatever the original lessee's terms and payment is gets transfered to the new lessee. I've transfered a lease to someone else before and they simply took over where I left off, except they had to get credit approval through BMW. The whole process takes about 2 weeks, ending with an approval letter at which point you give/receive the car from the original lessee. Back when I did it (2008), the fee was $350 (from what I can remember).

[badfish718]

Originally Posted by TwinTorque

Whatever the original lessee's terms and payment is gets transfered to the new lessee. I've transfered a lease to someone else before and they simply took over where I left off, except they had to get credit approval through BMW. The whole process takes about 2 weeks, ending with an approval letter at which point you give/receive the car from the original lessee. Back when I did it (2008), the fee was $350 (from what I can remember).

I am thinking about doing this. Do you remember if your seller had to qualify for the same credit tier that you did when you initially signed your lease?

[TwinTorque]

Originally Posted by badfish718

I am thinking about doing this. Do you remember if your seller had to qualify for the same credit tier that you did when you initially signed your lease?

Yes, the credit tiers must match since the terms will not change. That was a hurtle in the process for when I was transferring, the person didn't qualify at first and had to get a co-signer.

[kingofqueenz]

Okay thanks for the responses, I keep getting mixed stories that NY is the only state that forces you to pay tax again. I also found out that he rolled the taxes into the payments which should be even more justified for me not to pay again.

[badfish718]

Originally Posted by TwinTorque

Yes, the credit tiers must match since the terms will not change. That was a hurtle in the process for when I was transferring, the person didn't qualify at first and had to get a co-signer.

Thanks so much for clarifying this. I Unfortunately I may be dealing with this very issue in the next few weeks so you helped me avoid a possible surprise.

[kingofqueenz]

I just spoke directly with BMW Financial who said that NY is the only state that requires you to pay taxes upfront for the lease. When transfering a lease, they require you to repay the taxes again on the remaining payments when registering the vehicle at the DMV.