Does anyone have a jump on the leasing particulars in Ontario? Any ideas what the ALR is coming in from Mazda Canada Finance? Any input would be appreciated.... I spoke to my dealer yesterday and he did not have any concrete numbers as of yet...

 

The ALR for the Mazda 6 is 7.1% , the highest rate of the Mazda family. Some say because the demand is greater then availability. Once they start to have stock sitting on the lots for a while it should go down to the same level as the rest. Now if we are to translate that to the RX-8 with only 700 slated for Canada in 2003 then we may be looking at >7.1% Keep in mind that dealers get a very nice piece of that lease rate from the banks (they also get a piece of the action from the AFR).

 

I had a brief discussion on this last year with my tax-lady...

What I got from her was. When you lease, you can only claim amounts up to the $30,000 threshold. Maybe I understood her wrong, so if you find out anything else, please PM me.

I have to meet with my accountant next week over the 2002 taxes, so I will ask her then for a better explaination.

 

Hey Evolv, I have one of those tax-ladies too. I will ask her the next time I see her which should be soon. But if you find out sooner let me know, Ok?

 

Maybe we have the same tax lady.. Where U from??

 

Whitby, Ontario

 

A couple of years ago I got a Miata as my company car. Just over the 30K limit. This is the understanding I got from my accountant.

If you purchase a car for the company, you depreciate it 15% the first year and 30% each year after that to a maximum initial value of 30K. So the first year of ownership the depreciation was 30K * .15 = 4.5K, second year (30K - 4.5K) * .3 = 7.65K, third year (25.5K - 7.65K) * .3 = 5.355. etc. until the value of the car is just about gone. Usually after 4 years. The neat thing is that if you buy the car at the end of the first year you get the 15% deduction regardless of how long you have owned the car. I got a 4.5K tax break even though I bought the car on Dec. 31. you can also deduct the interest paid on the whole amount of the loan.

If you lease a car the the whole lease amount can be taken off because it is an out and out expense for the business. But you don't get any depreciation. There may also be a price limit for a leased car but I don't think so. The one gotcha here is that the lease amount must be "reasonable" so if someone thinks they can get the company to pay most of the cost of the car and then they can buy it for pocket change after the lease is up, it won't work. Don't know how they know but I don't want to find out.

In the end, if you are buying a car less then or close to the 30K limit, buyiing or leasing come out the same tax wise. Above that amount leasing comes out a bit better but at the end you don't have the car.

 

I usually don't care if I have own the car at the end of the lease. I like the fact that I get to drive a new car every 2 to 3 years.

 

I'm definately Buying (5 year loan)... If, after the RX-8 is payed off, I'll probably just go out and get something else to drive, and gut my 8 for racing. Could be a lot of fun... but no fun at all if I then have to shell out the resot of the cost to buy out the lease.

 

I'll probably be leasing since I have a small business and can write the payments off..

 

Does anyone have any interesting financing alternatives specific for Ontario? Royal Bank has a "royal buy back" (looks similar to a lease) but probably wont touch a "new" vehicle like an RX-8 (at least thats what they told me). I'm still trying to compute some other alternatives. Any other players offering a 7-8 year loan? My situation has changed (I currently and have prev leased my cars) but now dont use my car that much for business purposes.

 

Does anybody know the lease rate for the Rx-8 yet? I'm talking about the top model. From what I know, Mazda is not exactly known for their cars' residual values. I'm leasing an Acura RSX-S now.

 

At this time MNAO are not offering lease rates on RX-8s.

I am waiting ot get confirmation on this from MNAO, however this has been the story from many dealers.

Currently the demanc is higher for buying the cars than they can supply. Once the demand slows down (Spring/Summer 04) you should be able to lease freely.

 

Perhaps someone on this board can give a guestimate on what it will be?

 

welcome Avonord... they're around here (thoe guesses i mean), just use the Search button, up top under the rear right tyre of the blue RX-8 in the title graphic.

 

Thanks wakeech. I should know better given that I run a vbulletin board myself. Sometimes people are just lazy, I guess, and that includes myself.

Anyway, from what I found, the estimate is around US$400/month. That's in fact pretty close to my RSX-S. But only time will tell the exactly #.