If you’re a small business owner and are looking to purchase assets for your business you may be eligible to claim the whole purchase amount as a tax deduction.*
From 29 January 2019 to 2 April 2019, the instant asset write-off threshold was $25,000. This has been increased to $30,000 and has been extended to 30 June 2020. This means that businesses with a turnover from $10 million to less than $50 million are eligible to claim the entire business portion of each asset (new or used) up to $30,000.*
So, what vehicles can you purchase for less than $30,000?
To get a better understanding, we asked Craig Nylander from Automotive Holdings Group (AHG), our Ledge-AHG alliance contact, to give us some ideas and here is what he came back with:
“Most manufacturers have 2wd single cab utes with alloy trays that fit under the $30,000 threshold which are perfect for tradesmen. These vehicles include Nissan Navara, Mitsubishi Triton, Toyota Hilux Workmate.”
“If you are after a great run around vehicle there are many small SUV’s, such as Nissan Qashqai, Mitsubishi Eclipse Cross, Hyundai Kona, that fit under the cap.”
“Small to mid-size sedans and hatches, Hyundai i30 & Elantra, Toyota Corolla, Kia Rio & Cerato and Ford Focus, just to name a few, can all be purchased for under $30,000.”
“Small vans such as Volkswagen Caddy and Fiat Doblo may also be purchased for under $30,000.” Explained Craig.
If you are looking to purchase a vehicle for your small business, our alliance with AHG offers our clients, their employees and family’s many benefits. If you are not too sure on the exact make and model you want, contact our Ledge-AHG alliance contact Craig Nylander on 0424 182 855 or email firstname.lastname@example.org and he will be more than happy to assist with all your questions. If you would prefer to go through our Ledge-AHG Portal, click here.
As the end of financial year fast approaches, prepare yourself to hit the ground running (or in this case driving) into the new year.
If you have any further questions, contact your Ledge Finance Executive directly or contact us here.
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*The Content herein is intended to provide only general information on the subject, current at the time of writing.
Please refer to ato.gov.au and/or your tax advisor for more information and specific advice.