Logbook Lease

What is a Logbook Lease?

A Logbook Lease is a type of finance that takes into account your work use or business use driving.

This attracts tax savings that are used to reduce the cost of your finance payments, considerably reducing the cost of car ownership.

How does it work?

The fiance payments are made to the financier by a direct debit from your bank account. Nothing new there… The tax savings passed down to you by the Australian Tax Office. Your employer will simply receive a letter from the ATO which will request them to reduce your tax rate. This is all calculated based on your work use % you intend on doing with your vehicle. Because this is all done by the ATO you do not need your employer to grant you any permissions or require their involvement in the set up of the lease.

Who is the Logbook lease for?

The Logbook Leas is for anyone who uses their car for predominantly work-use or business-use purposes. It is commonly misunderstood that the Novated Lease is the best option when available, this is not true. The typical Novated Lease assumes predominant private use driving and therefore the tax savings calculated will not be as high compared to those who use their car for predominantly work-use are entitled to.

What do you need to qualify?

Unlike Salary Sacrifice or Novated Leasing you do not need your employer to be able to do a Logbook Lease.

You simply need to do only 2 things:
Use your car for more than 51% work use.

Do a logbook for 12 weeks within the first year of the lease recording your driving.