Last updated: 8 December 2025 – all rates & tax rules verified this week
Written & reviewed by the Ding Financial team – Australian Credit Licence 222640, equipment finance specialist brokers
⚠️ Important Disclaimer
All information on this page is general in nature and does not constitute personal financial, taxation, or legal advice.
Rates, approval times, and eligibility are indicative only and vary based on individual circumstances, credit profile, truck condition, and lender criteria.
There are no guarantees on interest rates, approval speed, or funding timelines.
Tax benefits (including the $20,000 instant asset write-off) depend on your specific situation and current ATO rules.
Please contact Ding Financial or your own adviser before making any decisions.
Truck Finance NSW – Competitive Rates, Fast Approvals
Finance rigid trucks, prime movers, tippers, and commercial vehicles across NSW. Compare 30+ lenders, understand the $20k instant write-off, and get indicative quotes from Ding Financial. Trusted by 200+ NSW transport operators.
Get a No-Obligation Indicative QuoteImportant 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.
$20,000 Instant Asset Write-Off 2025–26 – General Explainer (ATO Confirmed Extended)
This is general information only – eligibility varies.
Consult your accountant and cross-reference with ato.gov.au
Truck-Specific Eligibility & Examples
Who Qualifies?
- Small businesses with aggregated annual turnover under $10 million
- Trucks must cost less than $20,000 (ex-GST) per individual asset
- Eligible for chattel mortgages and hire purchase agreements
- Asset must be first used or installed ready for use between 1 July 2025 – 30 June 2026
Truck Examples
Example 1: Ute or Light Truck Under $20k
A transport business buys a 2018 Ford Ranger ute for $18,500 ex-GST. Full cost is immediately deductible in 2025–26, potentially saving ~$5,550 in tax (at 30% company rate).
Example 2: Truck Attachments or Equipment
A logistics company purchases truck toolboxes, ramps, and safety equipment totaling $15,200 ex-GST. Full amount can be written off immediately, saving ~$4,560 in tax.
⚠️ Example 3: Large Truck Over $20k
A rigid truck costing $85,000 ex-GST does NOT qualify for instant write-off. Must be depreciated over useful life (typically 7–10 years for trucks). Consult your accountant for depreciation rates.
Important Reminders
- • This is general information only – eligibility varies by individual circumstances
- • Tax benefits depend on your business structure, income, and current ATO rules
- • Always verify current requirements at ato.gov.au
- • Seek professional advice from a qualified accountant or tax advisor before claiming
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 trucks and commercial vehicles
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.
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