Chattel Mortgage Calculator (Business Car Finance)
Work out monthly repayments, the balloon amount and total interest on a chattel mortgage for a business vehicle — plus the GST input tax credit you can claim on the purchase.
A chattel mortgage is business car finance secured by the vehicle. If you're registered for GST, you can generally claim the GST on the purchase price as an input tax credit, and the interest and depreciation may be tax deductible for the business-use portion. Speak to your accountant about your situation.
Frequently asked questions
Who can get a chattel mortgage?
Businesses (including sole traders with an ABN) buying a vehicle used mainly for business. Predominantly private buyers usually use a standard car loan instead.
Can I claim the GST?
If you're registered for GST, you can generally claim the GST on the purchase price as an input tax credit in your next BAS (subject to business-use apportionment and the car limit). This calculator shows the GST component as a guide.
Is the interest tax deductible?
The interest and depreciation are typically deductible for the business-use portion. Confirm with your accountant.
How does the balloon work?
A balloon defers part of the amount financed to the end of the term, lowering repayments. See the detail on our balloon payment calculator.
Estimates only and not tax or financial advice. GST claims are subject to the ATO car cost limit and business-use rules. Confirm figures with your lender and accountant.