All links to DOR forms referenced in this document require you to have the free Adobe Acrobat Reader software.
Leases are subject to the same sales taxes as sales of property.
All information in this publication concerns state and state-collected taxes only. Home-rule jurisdictions have their own guidelines concerning tax on leases. Contact these jurisdictions directly. On leases of more than 36 months , the lessor must charge sales tax on the lease payments. On leases of 36 months or less , the lessor may either pay the tax when purchasing items to be leased or may collect the tax from the customer through the lease payments.