(19 May 2006 – Australia) National Australia Bank said it will pass on the government’s accelerated depreciation reforms to its customers – an initiative intended to stimulate demand in the strongly growing asset finance market.The reforms were announced in the recent budget.
NAB head of Asset Finance David Taylor said the new tax arrangements would increase the diminishing value rate for depreciation of assets from 150 to 200 percent.
“This will allow businesses to write off the cost of new plant and equipment more rapidly for tax purposes, reducing the cost of investing in new assets,” he said.
“On a A$200,000 truck finance lease, we estimate a total gross rental saving of around A$1,200,” Taylor said.