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I'm Glad I'm to finacialy thick to understand how this works.. I buy all my vehicles cash and my accountant hates me for it;)
If I told the wife through the business she could have a RR sport or even the real one she would go for it.. what sort of car could you have for say $2000 per month and how much would be a tax deduction...keep it simple I'm a builder..and type slow as I cant read fast;)
Hi Dirty, just been through it myself and for that sort of money you can easily get an RRS.
I was after an RR TDV8 but there’s none to spare and about a 4 to 6 month wait, so I’ll just have to wait.
It does pay to shop around for finance.
Personally I think you will be a lot happier with a D3 SE V6 and save a bucket of money.
The RRS is fun to drive BUT I would not like to drive one any great distance and there is HEAPS more room, in every aspect, in the D3 over the RRS.
When ever I put one of my LRs in for a service, I now request a D3 rather than have an RRS, there just not as comfortable, even if it’s just for the day.
My 2c worth.
Simply put: talk to your accountant before doing it.Quote:
Originally Posted by DirtyDawg
as said previously you can only claim depreciation up to $57009. Then (as it is your company i take it) you either have to pay frindge benefits tax or do a frindge benefits tax reimbursement... can add up.
check with your accountant, he knows your personal circumstances.:)
Depends - I've just done a novated lease/buy back on my D3, and the 8% interest is peanuts compared to the tax savings from paying for the lease and all maintenance from pre-tax salary. Plus offsetting the $66k from the car against the mortgage for three years until I have to give the residual amount back. :DQuote:
Originally Posted by cartm58
Thats ok mate, I have quite a few clients who are builders ;). In real simple terms there is no tax advantage to paying cash. Capital ie cash should be used to develop, grow, further the business, not put into a depreciating liability. Example investing $20k into ones business or investment is most likely going to yielda pay off down the track. Purchasing $20k' worth of vehicle, plant, machinery is definately going to yield a lesser figure in the same time frame, so therefore if one has to make purchases for a business, it is looking for the most tax effective way of doing it. That way is via a finance structure of some sort.Quote:
I'm Glad I'm to finacialy thick to understand how this works.. I buy all my vehicles cash and my accountant hates me for it;)
If I told the wife through the business she could have a RR sport or even the real one she would go for it.. what sort of car could you have for say $2000 per month and how much would be a tax deduction...keep it simple I'm a builder..and type slow as I cant read fast;)
I do most of my clients vehicles on a Chattel Mortgage where they claim the GST upfront and in their next BAS statement and then general costs, interest, depreciation from there.
Regards
Stevo
Some of you blokes must be earning serious money! :eek: :):)Quote:
Originally Posted by DirtyDawg
That's 3 weeks take home pay for me! :(
(And I presume I'm better paid than some others on here!)
Ron
About 1.3 weeks for some:angel:Quote:
Originally Posted by p38arover
Quote:
Originally Posted by rovercare
Mongrel! :mad:
:D:D
Yet if you looked at me, you would think I didn't have a job:D and a tightass:o but paying my house of is no 1 priority:)Quote:
Originally Posted by p38arover
DirtyDawg - the $2000/month is a big commitment. I presume you are self employed. When the money is rolling in it is fine, but it is every month for 3 or 4 years and you have to think what happens if you get a few quiet months in a row.
I leased my previous car at $1950/month and I was ever so glad to end the lease and stop making those payments. I guess it allowed me to drive a nice car without tying up any of my capital, but it is a pretty relentless drain on the business month after month.