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Old 02-04-2001, 05:18 PM
LawnSite Member
Join Date: Dec 1999
Location: WEST MI
Posts: 201
how is the depreciation handled differently on a lease as opposed to a purchase?

I am wondering if I should be looking into leasing a truck next time.
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Old 02-04-2001, 07:59 PM
zimm4 zimm4 is offline
LawnSite Member
Join Date: Mar 2000
Location: moline, IL
Posts: 106
On A lease you write off the lease payment as A expense. You do not write off the equipment. Make sure its A true lease. With A 10% buyout.

Leasing is best if you dont want the equipment afterwards.

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Old 02-04-2001, 08:09 PM
LoneStarLawn LoneStarLawn is offline
LawnSite Bronze Member
Join Date: Feb 2000
Location: San Antonio, TX
Posts: 1,415
Depreciation is not consider for tax deductions on leases. Lease themselves are fully deductible (business items only). Depreciation rates for taxes are given for purchased items.

[Edited by LoneStarLawn on 02-04-2001 at 07:12 PM]
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Old 02-11-2001, 01:04 AM
landscaper3 landscaper3 is offline
LawnSite Bronze Member
Join Date: May 2000
Location: Southern, Maine
Posts: 1,354
We lease all our equipment through Telmark, All our Walkers mowers, trucks and sanders. On our A.G. lease we write off 100% of our monthly payments and do a $100.00 buy out at lease end on mowers and sanders and 10% buy out on trucks. We tried many ways and found we save thousands a year going with the lease instead of loans or other ways.
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