vehicle write off for business 2023

Trying to write off a vehicle for business in 2023? Here’s the quick version before your accountant faints.

In FY 2022–23, Temporary Full Expensing let eligible businesses instantly deduct the business‑use cost of assets first used by 30 June 2023. Passenger “cars” were still capped by the ATO car limit of $64,741 (2022–23), and you only claim the business‑use portion. Utes and vans with payloads over 1,000 kg aren’t classed as “cars”, so that cap didn’t bite—subject, again, to your business‑use percentage.

From 1 July 2023 (FY 2023–24), the Instant Asset Write‑Off returned for small businesses (aggregated turnover under $10m) with a $20,000 per‑asset threshold; pricier vehicles have to be depreciated instead. Luxury Car Tax and on‑roads are separate joys, and GST credits follow your registration status and business use. Speak to your accountant before you pull the trigger—it’s faster than arguing with the ATO afterwards.