Any tax advantage to trading in a car for a lease?
Hey all,
Here is the situation.
I own a car that sells for about 12-14k on the used market. I want to get rid of it and start a lease. I have never leased before. I also want to put $0 down on the lease... so essentially I'll be walking out of the dealership with a cheque for the car (guessing around 8-9k) rather than putting it down on the lease.
We have agreed on the terms of the lease, the only thing we haven't finalized is the trade in value of my car.
My question: in this scenario are there any benefits to selling to the car dealer? Tax benefits etc.? I know that there is a lot less of a hassle just trading it in. But if I feel I'm getting low balled from the dealer, I want to be able to walk away from the trade in part to sell privately. Just want to make sure I'm not missing anything here in terms of benefits.
Thanks!
Here is the situation.
I own a car that sells for about 12-14k on the used market. I want to get rid of it and start a lease. I have never leased before. I also want to put $0 down on the lease... so essentially I'll be walking out of the dealership with a cheque for the car (guessing around 8-9k) rather than putting it down on the lease.
We have agreed on the terms of the lease, the only thing we haven't finalized is the trade in value of my car.
My question: in this scenario are there any benefits to selling to the car dealer? Tax benefits etc.? I know that there is a lot less of a hassle just trading it in. But if I feel I'm getting low balled from the dealer, I want to be able to walk away from the trade in part to sell privately. Just want to make sure I'm not missing anything here in terms of benefits.
Thanks!