we can't see the lease agreement. for tax purposes it could be a capital lease in effect an installment purchase this would entitle you to deduct all the sales tax in year 1
Taxes for Capital Leases
For tax purposes, a lease is considered a capital lease when the amount of the lease is $50,000 or more, the useful life of the asset is two or more years, and the lease meets at least one of these criteria:
1) Transfers owner of the personal property to the lessee by the end of the lease term
2) Contains an option to buy at a bargain price
3) The lease term is 75% or more of the estimated useful life of the property. 39months/60 months is only 65%
4) The net present value of the property is 90% or more of the fair market value of the property.
Because they are considered assets, capital leases may be eligible for depreciation if for business purposes - employees not eligible to depreciate. check with your tax professional.
