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Hennessy Porsche North Atlanta

Lease Law Enhanced - Click Here

What is TAVT?

TAVT stands for Title Ad Valorem TAX.  Motor vehicles purchased on or after March 1, 2013 and titled in the state of Georgia are exempt from sales and use tax and annual ad valorem tax, also known as the "birthday tax."  These taxes were replaced by a one-time tax that was imposed on the fair market value of the vehicle called the title ad valorem tax fee ("TAVT").

How Are Georgia’s Auto Lease Laws Changing?

Since March 1, 2013, Georgia had a new Title Ad Valorem Tax (TAVT) that applied to all new and used car purchases/leases.  The tax was paid up-front (or rolled into financing) at the rate of 7.0% of the fair market value of the vehicle, as determined by the Georgia Department of Revenue — or the vehicle selling price, whichever is greater.

Effective January 1, 2018, TAVT on leased vehicles will be calculated based on the total of lease payments, rather than the full value of the vehicle.

What does this enhancement mean for you?

In this example, it means cutting your taxes in HALF!  Previously, if you leased a $70,000 Porsche, you paid $4,900 in TAVT. The TAVT is calculated based on the sale price of the vehicle and added to the gross capitalized cost then paid over the term of your lease. The new rules would mean that on a $899/month base lease payment, you would be assessed based on the sum of the lease payments equating to roughly $2,454.27.  You have the option to pay this amount at signing OR throughout these term of the lease. The law became effective on January 1, 2018.
Contact one of our Hennessy Porsche Brand Ambassadors to find out just how much you can save on the leased vehicle of your choice.  Lower your payments or get more car for the same money.