Why is the sales tax on my lease invoice higher than normal?

Sales tax– You may notice that the sales tax amount on your invoice is higher than the rate in your state.  The reason for this is that the leasing company does not pay the sales tax on the monthly lease payment, rather, it makes one lump payment to the state for the total amount financed, and then finances that!  The result is that you will be paying 1-1.5% more than your local sales tax rate.  There’s nothing you can do about this.

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