hire purchase or simple car finance?

[VCDenton]

Hi everyone just signed a contract on a new car just wondering if I should finance the car by hire purchase or simple car loan? I intend to pay it off within a year

I am a sole trader gst registered, business use of the car probably will be ~alittle over 50% in terms of the KM.

Will be calling the accountant but think best to get some idea first! THx

 

[Propertunity]

I'm a big fan of a chattel mortgage to finance cars.
See: http://www.somersoft.com/forums/showthread.php?t=49329

 

[Aaron_C]

Chattel mortgage is best so you can claim back the GST

 

[VCDenton]

thx for the link propertunity

have look at the 1300carlease website as well but still scratching my hear as to the difference b/w hire lease and shadow mortgage, I just cannot tell any difference, any one explain plz

 

[Propertunity]

Chattel mortgage is best so you can claim back the GST

^ ^ what he said. You buy a $55K car and you get $5K back in your next BAS.