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Car leasing is a popular option for individuals and businesses in Australia who choose not to own a depreciating asset.

In addition to giving you the flexibility to change vehicles on a regular basis, there are also tax benefits of leasing a car.
If you’re registered for GST, then either a portion or the whole amount of your payments can be claimed back.

Also, if the amount your vehicle is financed for falls below the ATO’s depreciation limit then the whole lease is tax deductible.

Advantages

  • Drive without owning a depreciating asset

  • Potentially, claim all or part of your GST on the lease

Disadvantages

  • You don't own the vehicle