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