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      03-21-2013, 11:41 AM   #11
M3Carbon
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Drives: 2011 E92 M3, AW/FRE
Join Date: Jan 2013
Location: DC

iTrader: (1)

I just leased a new E class for my wife. I can tell you with 100% certainty tax is included in a lease payment. It has to be treated as a vehicle sale.

Basic calcs:

[(Net Cost - Residual) / Term]
+ [(Net Cost+Residual)*Money Factor)]
+ [Tax on sale price/Term]
= Monthly Payment

Net Cost is your negotiated purchase price minus any down payment (excluding dealer fee and 1st month payment).

Hope this helps.
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