Leasing tax strategies for business?

Ask the Hackrs
1

Hi All,

This is going to be my first lease. I am a lawyer with a small business (S-Corp). I don’t particularly “love” cars and am not desiring any particular vehicle… My old car (2006 jetta) is just becoming an embarrassment. I need a car that when clients see me will inspire confidence… BMW 330i is one I am looking at.

I see this as more of a ‘rental’ than a purchase – I wouldn’t keep it at the end of the lease.

I would be using this 90% or so for business. I understand this means I will lose the Standard Mileage Deduction and instead will have to keep track of gas receipts etc :frowning:

Are there any special considerations that I should be thinking about? Ie, leasing a loaner vehicle? leasing a slightly-used vehicle? 2016 vs 2017? Doing a Lease-Takeover? Maxing MSDs? Doing the BMW european delivery?

Thanks in Advance!

2

I am no accountant but lease is easier to deduct from taxes for business based on what i have heard. Regarding the lease a loaner would work out best of you get a good discount on those. 2016 should not be that many left so again you will have to give up on choice of color or options.