Need to end a lease 10 months early.
10 payments remain @ $414.70/mo = $4147
Extra mileage penalty is $0.15 x 8000 miles over = $1200
Dealer is willing to roll this onto a new 36mo lease, but they are charging tax (CA) on the $1200 and also the $4147.
Are they squeezing in extra fees and just saying it’s “tax”? My $414.70 includes tax (base rate + tax)…
Correct, there is no need for tax on 414.70. It should be 1200 mileage + 10x base rate and the tax on the total.
Yes taxes are computed on mileage penalty.
Thank you, that actually helped out greatly as we finalized the deal this morning 
Ended up asking them to appraise our 2015 Corolla LE Plus (43k miles) and we accepted @ 10,239 offer. We were worried if we did a early lease return, Toyota would come back after a few weeks with a bill (one being the tires needed replacing). So we figured they buy the vehicle, and we wash our hands clean as soon as we leave dealership.
Ended up with the following :
2017 Toyota Camry SE
$193/mo tax included
$0 out of pocket
-$5455 rolled onto new lease = $361/mo
Worksheet attached for reference;
