Leasehackr Calculator Update - Taxes

Hi LHrs!

We just added the option to configure the tax base for states that levy taxes upfront on the selling price (the third tax option) on the Calculator.

We understand states in this category define the tax base – “the purchase price of the vehicle” – broadly in two ways:

  1. the purchase price of the vehicle includes the acquisition and dealer fees (e.g. VA)
  2. the purchase price of the vehicle does not include fees (e.g. TX)

We would like your input on how other states in this category such as Maryland and Delaware define “the purchase price of the vehicle”. From our initial search, Maryland taxes the fees (#1) where as Delaware doesn’t (#2). We would like to confirm this so we can label these states appropriately on the Calculator.

Thank you!


Delaware taxes are little different. They charge 4.25 percent Documentation fee of purchase price or NADA book value, whichever is greater. This is paid during registration. Apart from this there is a 2.3 percent lease tax on monthly payments charged every month by lease finance company. I don’t see any option in calculator to accommodate this dual tax. (Tax on total value + monthly payments)

Also if you are returning a leased vehicle along with buying a new one(within 60 days) you may claim refund or adjust 4.25 percent of residual value of returned vehicle. This will not impact calculator but is just for information

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