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Novated leasing has become more commonplace in recent years as there are some benefits to using this type of agreement from both an employee and employer perspective. Some of the key benefits include:
- Flexibility of choice of vehicle (not restricted to white 4 door sedan)
- All vehicle expenses are derived from per-tax income (salary packaging)
- Potential lowering of tax threshold (please seek independent advice)
- Employer benefits by way of not having to maintain a fleet or being concerned about disposal issues if the employee moves on
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