[Presice]

Hi,

I am most likely picking up a new e92 in a couple of days. I will be leasing the vehicle. I currently have an '03 e39 which is fully paid off that I am replacing with the e92. Initially, I was thinking of trading in the car, but I think I may be better off selling it private party or to another used car dealer as I will get more $.

However, I don't understand the tax benefits of trading in a car towards the lease of another car. Can someone help explain this to me? Also, am I better off trading the vehicle into the same dealer I am buying the car from in order to take advantage of the tax benefits?

I am located in NY state, Nassau County. The car I'm trading in is registered here and I will be leasing the new car from a dealer here if that makes a difference.

Thanks for the help.

[PKL]

If you were buying the car the answer is simple. The purchase price of the car is reduced based on the value of your trade therefore you pay less in sales tax. I have no idea how it works with you, I don't lease cars.