second hand car - self-employed tax implications

Discussion in 'Accounting & Tax' started by leon brown, 1st Apr, 2019.

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  1. leon brown

    leon brown Well-Known Member

    Joined:
    21st Jun, 2015
    Posts:
    64
    Location:
    nsw
    Hello Everyone,

    I have a small business - self employed (not a PTY) E commerce business

    I want to buy a second hand car around $3000 this car will be a sedan not a commercial used for the business and also for personal use 50-50 use

    I want to purchase car out of business account not using personal funds.

    Is this possible and what will the tax implications be? E.g Tax write off of the whole amount paid?

    Thank you in advance
     
    leon brown, 1st Apr, 2019
    #1
  2. Morgs

    Morgs Well-Known Member Business Member

    Joined:
    7th Dec, 2017
    Posts:
    1,814
    Location:
    Sydney NSW
    I'm not an accountant & no advice... this may help:

    Car expenses
     
    Morgs, 1st Apr, 2019
    #2
  3. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

    Joined:
    18th Jun, 2015
    Posts:
    23,543
    Location:
    Sydney
    A correctly completed logbook will determine the tax issues and if you dont have a logbook the deductions may be limited to other records of the work related use.

    The small business write off is based on the logbook % too. eg Use it 25% for work then the available write off may be $750
     
    Paul@PAS, 2nd Apr, 2019
    #3