The 2025 Investment Boost: A Golden Opportunity for Fleet-Focused Businesses

Hale Manufacturing
Oct 01, 2025By Hale Manufacturing

IN CASE YOU MISSED IT. In Budget 2025, the New Zealand Government introduced a bold initiative aimed at encouraging business investment and supporting productivity: the Investment Boost.

While it may not have made front-page headlines, for fleet operators, contractors, and trade-based businesses, this policy could represent the best opportunity in years to invest in new vehicles, equipment, and custom-built assets.

At Hale Manufacturing, we work closely with clients who rely on purpose-built transport solutions every day — and we believe this incentive has real, tangible value for those looking to upgrade their fleet or expand their operations.

What Is the Investment Boost?

From 22 May 2025, businesses that purchase new depreciable capital assets — including commercial vehicles, fit-outs, tools, and equipment — are eligible to claim an immediate 20% tax deduction in the same financial year the asset is first used or installed.

This 20% deduction is in addition to the standard depreciation usually applied over the life of the asset.

There’s:

  • No cap on investment size
  • No complex eligibility hoops
  • And it’s available to any business investing in qualifying capital assets

In simple terms, it’s a genuine cash flow advantage — particularly valuable for high-capex industries like transport, construction, and traffic management.

Why It Matters for Hale Clients

At Hale Manufacturing, we specialise in building fit-for-purpose vehicle solutions. That includes:

  • Traffic management trucks
  • Fully kitted trade vans
  • Mobility and accessibility conversions
  • Curtainsider and box bodies
  • And bespoke fit-outs across all major industries

We’re seeing more clients shift their mindset — focusing less on price alone and more on total value, durability, and long-term efficiency.

The Investment Boost aligns perfectly with that thinking. It rewards those who plan strategically and invest in assets that work harder, last longer, and meet the growing demands of their industry.

 A Practical Example

Let’s look at a real-world scenario.

You’re investing in a curtainsider truck for your business.

Here’s how it breaks down (approx):

  • Truck chassis: $130,000
  • Hale Manufacturing custom build: $70,000

Total project cost: $200,000 (excluding GST)

Under the Investment Boost:

  • Immediate deduction (20%) = $40,000
  • Standard depreciation (10.5% on remaining $160,000) = $16,800
    Total year-one deduction = $56,800

Tax saving at 28% company tax rate = $15,904

That’s nearly $16,000 back in your pocket in the first year — money you can reinvest, hold as cash flow, or use to offset other business costs.

Seamless from Chassis to Completion

To make it even easier, we work directly with trusted vehicle dealerships across New Zealand to bundle your chassis purchase and Hale build into one package. This means:

  • One streamlined transaction
  • Easier for your accountant to process
  • And ensures eligibility under the Investment Boost without any gaps

Whether you're buying new or importing, we’ll guide you through the best way to structure the purchase for maximum return.

Planning Matters

Timing is everything.

If your business’s financial year ends on 31 March, and you’re planning a new asset purchase, it’s crucial to ensure the vehicle is delivered and in use before that date to qualify for the year’s deduction.

We’re already helping clients structure build timelines around their accounting needs — ensuring the investment works both operationally and financially.

Our Message to Fleet Operators

If you’ve been holding off on a vehicle replacement, expansion project, or compliance upgrade — this is the time to take action.

Incentives like the Investment Boost don’t come around often, and with rising operational costs and tightening margins, every dollar of tax relief counts.

We encourage you to:

  • Talk to your to your local truck or van dealer
  • Lock in build timelines early
  • And speak with our team about packaging your next investment in a way that maximises your return

Let’s Build Smarter

Whether you're a sole trader upgrading a single vehicle or a national contractor managing an entire fleet, the team at Hale is ready to help you take advantage of this opportunity.

We’ll walk you through the process, connect with your suppliers, and ensure your build is eligible and delivered on time.

FOR MORE INFORMATION;

For detailed information, refer to the official Investment Boost Factsheet.

Or give us a call - 03 342 6211