Wisdom & Authority Title Solutions

LEASING A VEHICLE IN VIRGINIA

SHANEL WHITE: Posted on Tuesday, October 11, 2011 11:42 PM

If you are leasing a vehicle in Virginia or are considering doing so, this segment provides comprehension of the titling and registration aspect of leasing a vehicle in Virginia. In addition to that; light will be shed on some challenges that can transpire when leasing a vehicle in Virginia.

When you are leasing a vehicle in Virginia, that vehicle is subject to Virginia's vehicle titling and registration laws (even if the leasing company is out of state). In regards to titling and registration the lessee doesn't own the vehicle, the lessor does. With that being said, the lessor (the leasing company), is responsible for allowing the lessee to get the vehicle titled and registered in their designated state. Please be advised that as the lessee, you should use due diligence, to ensure that the leased vehicle is titled and registered properly.

The following entails areas that you should be mindful of when leasing or transferring a leased vehicle in Virginia:

The leasing company sometimes assume responsibility of the costs of the vehicle registration (alleviating you from costs of paying for decals every year, two years, etc.)
As the lessee, you are not the vehicle owner, so on the title, you will not appear as the "owner'. On the registration card, the same matter applies, however you will be listed under the lessor, along with your address and the garage jurisdiction of the vehicle.
As a lessee, you don't have to pay property tax in Virginia, because technically you don't own the vehicle.

The following are challenges that sometimes occur when you are leasing or transferring a leased vehicle in Virginia:

Dual payment of sales tax may be collected (PLEASE DON'T CONFUSE SALES TAX WITH PROPERTY TAX). For example, when the lease was first taken out, you may have paid sales tax and then if you buy the lease out, you may pay sales tax again. The sales tax is transmitted to the DMV.
If your leased vehicle was originally titled out of state and you are transferring the vehicle to Virginia, you may have to pay sales tax (depending on the situation and how long you've been leasing the vehicle)
If the leased vehicle isn't titled and registered properly, a property tax mishap might occur; alarming you that you owe property taxes for the "leased vehicle". Note: once again, you don't own the vehicle, so you don't have to pay property taxes.

Wisdom & Authority Titling Solutions is committed to assisting you with any titling and registration concerns that you may have with your leased vehicle in Virginia. If you are transferring your leased vehicle to Virginia; you owe it to yourself to be in the know and Wisdom & Authority Titling Solutions will show you how.

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LEASING A VEHICLE IN VIRGINIA

LEASING A VEHICLE IN VIRGINIA