If you leased a luxury car and wish to claim a deduction at item D1 or D2, the following information about luxury cars will help you.
A leased luxury car is a leased car that at the time the lease begins cost more than the 'luxury car limit' that applied in the relevant income year.
You can claim a deduction for the decline in value of a leased luxury car (but not for other leased cars). The car can be new or second-hand. You must use either the:
- 'one-third of actual expenses' method, or
- 'logbook' method.
When claiming a deduction for decline in value, the initial value that you use for the car is the limit that applied in the income year in which the lease began.
Luxury car limits for the past 10 years |
|||
2010-11 |
$57,466 |
2005-06 |
$57,009 |
2009-10 |
$57,180 |
2004-05 |
$57,009 |
2008-09 |
$57,180 |
2003-04 |
$57,009 |
2007-08 |
$57,123 |
2002-03 |
$57,009 |
2006-07 |
$57,009 |
2001-02 |
$55,134 |