IRS Guidance FS-2023-29 indicates that “original use” with regard to leases is, “where a vehicle is acquired for lease to another person, the lessor is the original user.” This means that the finance company, which actually owns the vehicle, is the original user.
Since the original use would be the lessor (owner of the vehicle), we understand this to mean that the finance company would be the original use, and the lessee (person leasing the vehicle) could buy the vehicle as a used vehicle using the tax credit, as long as the vehicle and buyer meet other eligibility requirements.
