Quote:
Originally Posted by bracoX5d
Hi All,
I'd like to introduce my self, this is my first post although I've been reading the posts here for a while. I have found this site to be a great source of information, and it has kept me busy while waiting for my X5.
So I currently have on order 2010 X5 35d, Space Gray, Tobocco leather, premium package, technology package, rear climate package, and I am very excited to take delivery. However, there is a chance that I won't take delivery before new years, but I really want to take advantage of tax benefits on my 2009 taxes instead of 2010, my dealer says we can contract the car before I take delivery since we already have a VIN#. Is there any reason not to do this? Any pitfalls I should watch out for? Hopefully I won't have to do this as my car is on its way to Oxnard VPC, but I'd like to get some advice if I do have to.
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BracoX5d, Congrats on your new X5. If you want to take advantage of the business deduction, the car has to be placed in service before 12/31/2009. If the vehicle is not in your possession by then, my interpretation is that you cannot take advantage of the law. On the other hand, if you are just looking to take advantage of the sales tax deduction, I believe all you need to show is that you have purchased it by 12/31. But if you end up paying the sales tax in 2010, that could be a problem if IRS asks for proof.
In tried almost all the BMW dealerships in this area when I was looking for mine and I personally would not trust most of them to contract ahead. I trust you know your CA well.