I was hoping someone could help me. I am planning to take over a car lease from Florida and a resident in Georgia. To my understanding, when I register my car in Georgia, I have to pay TAVT. As per the new law that went effective January 1st, 2018, a new car lease from Georgia only gets taxed on the leasing payments rather than the entire value of the car (I know ridiculous that it was this way).
As far as transferring the lease, does anyone know if I have to pay tax on the lease payments or the total value of the car? I cannot find the answer to this question.
i don’t know for sure. But i think you need to pay full tax. Think of it this way, if you lease a loaner, you’d have to pay full tax. A transferred lease is not a new car, it’s a used car like a loaner.
I was in this exact same situation a few months ago. Unfortunately, to register the car properly in GA, you will be paying TAVT on the entire FMV of the vehicle. The new 2018 law only impacts leases on new cars (i.e. if you walk into a dealer and lease a brand new car), but wouldn’t apply to lease transfers.