Last updated: 8 December 2025 – all compressor finance rates & tax rules verified this week
Written & reviewed by Ding Financial industrial equipment team – ACL 222640 | 22+ years compressor finance experience
⚠️ Important Disclaimer
All information is general only and does not constitute personal financial, taxation, or technical advice.
Rates and eligibility are indicative only and vary based on credit profile, compressor type/size/brand, application, and lender criteria.
Tax benefits (including $20k instant write-off) depend on your situation and current ATO rules.
Contact Ding Financial or your adviser before making decisions.
Compressor Finance NSW – Rotary Screw, Piston & Portable
Finance all air compressor types for NSW manufacturing, automotive, construction, mining, and industrial operations. Rotary screw compressors, piston compressors, portable diesel compressors, and oil-free systems.
Compare 25+ specialist lenders, understand the $20k instant write-off, energy efficiency rebates, and get expert quotes from Ding Financial (ACL 222640).
Trusted by 180+ NSW manufacturers, workshops, and industrial contractors.
📞 Speak to an industrial equipment specialist: 1300 DING FIN
Important Tax & Financial Disclaimer
General Information Only: The information provided on this page is for general guidance purposes only and should not be considered as professional tax, legal, or financial advice.
Seek Professional Advice: You must seek professional advice from a qualified accountant, tax advisor, or financial planner regarding your individual tax circumstances, strategies, and current regulations before making any financial decisions.
ATO Requirements: For official information about tax deductions, instant asset write-offs, depreciation schedules, and current ATO requirements, always cross-reference with the Australian Taxation Office website:
Tax laws and regulations are subject to change. Always verify current requirements with the ATO and consult with professional advisors before making equipment finance decisions.
Official ATO $20,000 Instant Asset Write-Off
Based on official Australian Taxation Office guidance - current for 2024-26 financial years
$20,000 Instant Asset Write-Off
Official ATO instant asset write-off for eligible compressors and air tools
Eligibility Requirements
- •Business aggregated turnover less than $10 million
- •Asset cost less than $20,000 (ex GST if registered)
- •First used or installed ready for use 1 July 2024 – 30 June 2025 (law) | 1 July 2025 – 30 June 2026 (announced)*
- •Using simplified depreciation rules
- •Both new and second-hand assets qualify
How It Works
- •Per-asset basis: Write off multiple assets under $20k each
- •Immediate deduction: Claim full business portion in year of purchase
- •GST treatment: Exclude GST if registered, include if not
- •Business use only: Only claim business portion (not private use)
Assets $20,000 or More
If your asset costs $20,000 or more, it goes into the small business simplified depreciation pool:
- • 15% deduction in the first year
- • 30% deduction each subsequent year
- • If pool balance falls below $20,000, write off the entire balance
Important Exclusions & Limits
Passenger vehicles limited to $69,674 for depreciation purposes (excludes motorcycles and disability-modified vehicles)
- • Assets leased out (>50% of time)
- • R&D assets (special rules apply)
- • Capital works & buildings
- • Horticultural plants
Practical Example
Purchase: Computer for $6,800 (80% business use)
Instant Write-Off: $5,440 (80% of $6,800) in the year of purchase
Total cost ($6,800) is below $20,000 threshold ✓
Business can claim $5,440 deduction immediately, not spread over multiple years
* Legislative Status: The $20,000 instant asset write-off for 2024-25 (1 July 2024 to 30 June 2025) is confirmed law. The extension for 2025-26 (1 July 2025 to 30 June 2026) has been announced by the government but is not yet legislated. While the government has committed to this extension, it requires parliamentary passage before becoming law.
Important: This information is based on ATO guidance current as of December 2024. Tax laws change regularly. Consult a registered tax agent or accountant to ensure your specific situation qualifies for the instant asset write-off. Record keeping requirements apply.
NSW Compressor Types & Indicative Finance Pricing
Rotary Screw Compressors
Industrial, oil-injected & oil-free
Capacity Range:
15-500 HP (typical: 30HP, 50HP, 100HP, 200HP models)
New Pricing:
- • 15-25 HP: $12,000-$28,000
- • 30-50 HP: $25,000-$55,000
- • 75-100 HP: $55,000-$95,000
- • 150-200 HP: $95,000-$180,000
- • 300-500 HP: $180,000-$450,000
Used Pricing (3-8 years):
- • 15-25 HP: $6,000-$16,000
- • 30-50 HP: $15,000-$35,000
- • 75-100 HP: $35,000-$65,000
Indicative Finance Rates:
6.5-9.0% p.a.*
✅ Best For:
- • Manufacturing plants
- • Automotive workshops
- • Food & beverage production
- • Pharmaceutical facilities
- • Large-scale fabrication
Popular Brands in NSW:
Atlas Copco, Ingersoll Rand, Kaeser, CompAir, Gardner Denver
💡 $20k Instant Write-Off:
Most 15-30 HP rotary screw compressors under $20k ex-GST may qualify. Consult your accountant.
Piston Compressors
Reciprocating, single/two-stage
Capacity Range:
3-50 HP (typical: 5HP, 10HP, 15HP, 20HP models)
New Pricing:
- • 3-5 HP: $1,500-$4,500
- • 7-10 HP: $4,000-$9,000
- • 15-20 HP: $8,000-$16,000
- • 25-50 HP: $15,000-$35,000
Indicative Finance Rates:
8.0-10.5% p.a.*
✅ Best For:
- • Small workshops
- • Panel beaters
- • Construction sites
- • Mobile service vehicles
- • Light manufacturing
💡 $20k Instant Write-Off:
Most piston compressors under $20k ex-GST qualify for instant write-off. Verify with ATO.
Portable Diesel Compressors
Construction, mining, drilling
Capacity Range:
100-1600 CFM (typical: 185CFM, 375CFM, 750CFM, 1150CFM)
New Pricing:
- • 100-185 CFM: $18,000-$35,000
- • 250-375 CFM: $35,000-$65,000
- • 400-750 CFM: $65,000-$120,000
- • 900-1600 CFM: $120,000-$280,000
Indicative Finance Rates:
7.0-9.5% p.a.*
Popular Brands in NSW:
Atlas Copco XRHS/XRVS, CompAir, Sullair, Doosan
Oil-Free Compressors
Medical, food, pharma, electronics
Capacity Range:
15-500 HP (rotary screw/scroll/centrifugal)
New Pricing:
- • 15-30 HP: $35,000-$65,000
- • 50-75 HP: $65,000-$110,000
- • 100-150 HP: $110,000-$180,000
- • 200+ HP: $180,000-$500,000+
Indicative Finance Rates:
6.5-8.5% p.a.*
Ding Financial Compressor Finance Expertise
*Indicative rates only. Actual rates vary based on credit profile, compressor type/size/brand, hours, application, and lender criteria. Ding Financial has 22+ years experience financing compressors for NSW manufacturers and industrial operators. Contact us for personalized quotes.
Contact Ding Financial for Expert Compressor Finance Assessment
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