Most states, however, require sales tax to be paid over the stream of lease payments. This can result in a greater amount of total sales tax paid, depending on the life of the equipment. A few states, such as California, give leasing companies the choice of paying tax up front or over the lease term. Another problem is that leasing companies often have exempt organizations as customers. Additionally, most companies lease personal property in numerous jurisdictions with varying sales and use tax rates.
Some jurisdictions even have different rates for leased assets than for other property.
If you rent the car at an airport, you might pay an additional short-term rental tax on top of the sales tax. There are a lot of variations. Additionally, a couple of states apply different treatment to short-term rentals of all tangible personal property, not just automobiles. Abolins adds that other components of a lease, such as insurance or mandatory deposits, may also be taxable. Hosting service providers can download the Complete Commerce deployment toolkit , which includes setup, configuration, deployment and sales tools for hardware and software needed to deploy a commerce service.