Motor vehicles

ATO depreciation rates for motor vehicles assets in the Transport, Postal And Warehousing industry, under Income Tax (Effective Life of Depreciating Assets) Determination 2025 (LI 2025/20).

9 assets listed.

Asset Effective life Prime cost rate Diminishing value rate Applicable from
Buses – tourist and charter 15 years 6.67% 13.33% 1 July 2025
Buses having a gross vehicle mass of more than 3.5 tonnes Cars (motor vehicles designed to carry a load of 15 years 6.67% 13.33% 1 July 2025
Lighting systems (including apron floodlighting, runway lighting and taxiway lighting) 15 years 6.67% 13.33% 1 July 2025
Minibuses having a gross vehicle mass of 3.5 tonnes or less and designed to carry 9 or more passengers 12 years 8.33% 16.67% 1 July 2025
Motor vehicles (cars) – rental 3 years 33.33% 66.67% 1 July 2025
Motor vehicles (cars) – ride sourcing/ride hailing 3 years 33.33% 66.67% 1 July 2025
Taxis 3 years 33.33% 66.67% 1 July 2025
Truck mounted maintenance assets (including points cleaning, sweeping and welding machines) 15 years 6.67% 13.33% 1 July 2025
Trucks having a gross vehicle mass greater than 3.5 tonnes (excluding off highway trucks used in mining operations) 15 years 6.67% 13.33% 1 July 2025

About these rates

The effective lives shown above are determined by the Commissioner of Taxation under section 40-100 of the Income Tax Assessment Act 1997. The diminishing value rate equals 200% ÷ effective life (for assets acquired on or after 10 May 2006). The prime cost rate equals 100% ÷ effective life. You may alternatively self-assess effective life — see the ATO website for guidance.

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