GST Implications
| Characteristics |
Lease |
CHP |
Chattel Mortgage |
| Are repayments tax deductible?* |
Yes |
No |
No |
| Can you depreciate the equipment as tax deductible?* |
No |
Yes |
Yes |
| Is the interest tax deductible? |
No |
Yes |
Yes |
| Is GST payable on the cost of the equipment? |
No |
Yes |
Yes |
| Is GST payable on repayments? |
Yes |
No |
No |
*If used for income producing purposes
