Most Creative Ways to Buy Car via Company You Own

Hi All! I was wondering if any other business owners or people who know of methods other busines owners have used to purchase a car via a company they own/ are a director of.

So far I know that:
1. Certain electric vehicles have an exemption in FBT
2. The small business write off is no longer 150K so we have to depreciate it
3. I don't pay myself a salary as I have another job so novated leases seem to be out of the question.

For me the main thing is cashflow and I don't want to drop 50 - 70K in one hit. So what are the most creative ways you know of that people buy themselves cars via their business but legally according to the eyes of the ATO.
I also want to try expense as much of it as I can. I guess the question is if something was a pure car lease that ends up costing more in the long run - but can the full amount be expensed each time?
You get the gist.

Comments

  • +20

    You'd think that when you owned a company, you'd also be wise enough to consult an accountant for important business related purchases/tax implications

    Or, just randoms on ozb. Same same.

    • -2

      Doing both atm :)

    • +6

      we give great advice!

      ok so you need…
      bikies

      • +4

        we give great advice advise!

        it’s OzB… so I FTFY…

      • electric bikies

    • +5

      Sometimes accountant's aren't that clued up on things.

    • +7

      Most accountants would just ask on here anyway

  • +2

    I don't pay myself a salary as I have another job so novated leases seem to be out of the question.

    No but your accountant might be able to do an associate lease with your spouse or related entity.

  • +1

    KISS - keep it simple.
    Buy the vehicle under the company, register it to the company. Pay a % via a loan to free up cash flow (around 6% interest currently through brokers) pay the rest of the deposit via company cash.
    Then the accountant has a lot of fun moving numbers around and giving you tax credits every quarter.

    • Pay a % via a loan

      Do you mean against the company or personal mortgage (I'm guessing just car loan against company)?

  • The small business write off is no longer 150K so we have to depreciate it

    The instant asset write off was never 150k for cars.

    • Yeah but it was something high like 60K wasnt it?

  • Apply for a credit card with a long 0% Balance Transfer offer.

    Pay for car with different card, then use the new 0% BT to pay this one off.

    Enjoy a 0% (ish) loan for maybe 36 months?

  • Ask Cadogan
    then all your comedy requirements are also met…

    • Ask Cadogan

      …only if you want a Hyundai or Kia

      • He now gets Eisbeins from selling Volkswagens…

  • Put a bumper sticker with company logo and register the vehicle as a mobile billboard.

  • -1

    Get Elon to invest

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