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| *The Commerce Journal>>>Canada Taxes |
Should I lease a car? |
I have company and I want to lease a car which is about 68 000$ and If i lease that car I have to pay $1,125 each month,now I want to know how can I decrease this monthly payment by leasing that car under my company name There is a limit on the amount of lease payment that is deductible for tax purposes: $800 plus PST and GST Also, if it is your "company's" car, you'd be receiving a taxable benefit for any personal use (if you owned it personally as an employee, then, you'd just claim the amount relating to business use). Source(s): http://www.cra-arc.gc.ca/e/pub/tg/t4044/... Leasing a car is the most expensive way to operate one, ownign your own business has nothing to do with it. consumer reports, dave ramsey, etc. Leasing a car is the worst investment you can make, it costs just as much to lease a car as it does to buy one. I would just look for a newer used car or sometimes companies that are going out of business or downsizing will sell off their company cars. Purchase one of these under the business name and you may get a better interest rate. |
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