Lease transfer to different state

Hi

I am trying to see how the monthly payment/tax would work when transferring lease from PA to NJ
Lease tax is calculated on the monthly payment while NJ is on the total lease price upfront.
If I were to transfer BMW lease from PA to NJ, how would the monthly payment be affected?

Thank you

Isn’t it obvious? The monthly payment will be cheaper in NJ since you pre-pay the tax upfront.

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I assume that’s after you bring a Brinks truck full of Pennsylvania doubloons to the NJ DMV to pay the tax?

Yes, the NJ tax will have to be paid upfront and can’t be rolled into the monthly as BMWFS won’t change the original contract.

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So even in Lease transfer, you would have to pay the entire tax amount up front in NJ?

What did the State of NJ tell you when you asked them? :thinking:

Plenty of folks here live in the Garden State, but nobody here IS the Garden State.

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Yes.

@AP919 Can you confirm?

In terms of a new lease (so not commenting on the OPs question), sales tax can be rolled into the monthly for NJ.

This is true for BMW as well as other car brands. The dealer handles the paperwork and the formatting.

Your post wasn’t clear.

Are you moving from PA to NJ and registering the car in NJ (still under your name)?

Or are you transferring the car to someone else who lives in NJ?

Maybe related — I moved from CA to Texas with my leased BMW and when I updated my billing address to Texas the sales tax was dropped from my monthly payment.

Transferring car from PA to NJ

Did you already pay PA taxes up front? Just confirming that you didn’t.

Although you should call BMWFS for an official answer - when you transfer the lease to NJ, you’ll pay sales tax up front only on the remaining months of the lease.

So let the buyer figure it out.

I think he himself is moving to NJ (?)

Bank should add 6.625% on top of the monthly payment amount to cover it. They don’t try to recollect upfront based on my experience with a PA>NJ lease transfer, although not BMWF.

It should be that tax is due on the sum of the remaining payments at the time the car is brought into NJ.

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