Articles by Joshua Dowling

Joshua Dowling road tests and reviews the BMW 218d ACtive Tourer with specs, fuel consumption and verdict.

The world's favourite sports car enters its fourth generation with a price that takes it back 23 years.

The Australian car industry is continuing to bleed red ink on its balance sheets as it prepares to shut down forever from the end of 2017.

Are you still trying to figure out how the Budget tax changes affect your small business — and what it might amount to in savings on a new car? You're not alone.It's 10 days since Joe Hockey allowed immediate tax deductions for small businesses or sole traders for assets costing up to $20,000. The car industry is still grappling with the fine print and trying to establish which vehicles are eligible.Is the maximum amount on an eligible vehicle $20,000 plus on-road costs, $20,000 drive-away, or more?What happens if you pay the difference on the amount on a vehicle that costs more than $20,000?With some help from those in the know we've managed to zero-in on the best and worst case scenarios, and sort fact from fiction.Assets acquired and installed ready for use between 7.30pm 12 May 2015 and 30 June 2017For starters, the government will not write you a cheque for $20,000 if you buy a new car, as some believe.The changes also do not apply to private buyers, who typically account for more than half of all new-car sales.Further, the criteria for small businesses and sole traders are tougher than many may realise — and the deal doesn't last forever.The $20,000 threshold for goods that can be used as an immediate tax deduction (rather than spread over eight financial years, in the case of motor vehicles) applies to "assets acquired and installed ready for use between 7.30pm 12 May 2015 and 30 June 2017".Eligible businesses must turn over more than $20,000 and less than $2 million annually, the real estate assets of the business must be worth more than $500,000, other assets must worth be more than $100,000, and the business must have made a profit in three of the past five years. The aim is to prevent rorting.The amount each small business or sole trader may be entitled to as a tax refund will vary — even on identical vehicles — because the purchase price of the asset is counted against taxable income.In a best-case scenario, sole traders in the top tax bracket of 47 cents in the dollar could be eligible for a refund of up to $8500 on a $20,000 vehicle used exclusively for work. Small businesses taxed at 30 per cent could pocket up to $5400 — providing quarterly tax instalments or pay-as-you-go taxes are up to date."If people are rushing to buy a new car they need to consider the non-commercial loss provisions which apply to their business," says chartered tax adviser Amar Deep.In simpler terms, he says: "If your business is making a loss, you can't use that loss to offset your employment income and get a refund from the Tax Office."Meanwhile, dealers are scrambling to find out which vehicles fall under the $20,000 threshold, and how far customers can stretch the limit.The ATO says the asset must cost not a dollar more than $20,000.However, that amount is excluding GST, meaning the most basic $20,900 drive-away trayback utes are eligible.Further, given there is no GST on registration or stamp duty, an eligible vehicle in theory could be priced between $21,500 and $22,000 drive-away, which will bring in some small vans from Citroen, Renault and Volkswagen.You wouldn't be able to buy, for example, a $60,000 SUV and submit three $20,000 tax invoicesAccessories fall into a grey area. For example, experts we've spoken to say you could in theory add a larger ute tray or other accessories — taking the vehicle beyond the $20,000 threshold — providing they were on a separate tax invoice.If the dealer was prepared to split the invoice, already a common practice with some fleet leasing arrangements (where the individual and the employer pick up different parts of the tab), then you could arguably drive away in a $30,000 ute or van loaded to the hilt.But you wouldn't be able to buy, for example, a $60,000 SUV and submit three $20,000 tax invoices to offset against your taxable income. Work vehicles dearer than $20,000 will be deductible over eight years, as per usual.The $20,000 threshold applies to any goods, so it doesn't even have to be a new car. For example, it can be a used vehicle, or a small hatchback for a pizza delivery business or security company.But the amount you may get as a tax deduction depends on how much the vehicle is used for work and what your (or your company's) taxable income amounts to.Understandably, the industry has welcomed the Budget initiative, not least because it has jump-started showroom traffic before June, historically the biggest month for new-car sales."We applaud the government's small business initiative," says Patrick Tessier, chief executive officer of the Australia Automotive Dealer Association, representing 4000 franchises."We believe small business needs a stimulus and we think this will have an immediate benefit."Our dealers are already reporting a spike in interest in showroom traffic and phone calls. There is a lot of inquiry about what these changes mean and what savings might be available."The dealer group also predicts car companies will react quickly and introduce models in June to capitalise on the new arrangements."Some brands will be able to do more than others," Tessier says. "I think we will see more cars limbo closer to that $20,000 mark in June."Popular work vehicles and the deduction to which sole traders and small businesses may be entitled.Toyota HiLux ute: $20,990 drive-away, $5400 to $8500Mitsubishi Triton ute: $20,990 drive-away, $5400 to $8500VW Caddy van: $22,990 drive-away, $5400 to $8500  Renault Kangoo van: $19,990 drive-away, $5400 to $8500Kia Cerato hatch or sedan: $19,990 drive-away, $5400 to $8500Toyota Yaris automatic: $17,990 drive-away, $5397 to $8455Nissan Micra automatic: $17,602 drive-away, $5280 to $8272Honda Jazz manual: $16,990 drive-away, $5097 to $7985Suzuki Celerio automatic: $13,990 drive-away, $4197 to $6575Hyundai i20 manual: $12,990 drive-away, $3897 to $6105Figures are a guide only and apply to vehicles solely used for work. Consult a tax professional for an accurate estimate on any new vehicle you may consider purchasing.

The first all-new Toyota HiLux ute in 10 years just got a whole lot tougher -- even though it is loaded with luxury technology and was designed by the same person who developed one of the world’s smallest cars.The chief engineer for the new HiLux, unveiled globally Thursday afternoon ahead of its showroom arrival in October, also created Toyota's tiny European city car, the iQ, which is about the same size as a Smart.But Toyota says the latest generation of Australia’s favourite workhorse for more than three decades has retained its ruggedness, even though it has a hi-tech dashboard with an iPad-like display, seven airbags, a remote sensor key, LED headlights and other technology reserved for luxury cars.As a sign of our changing taste in cars, Toyota has also made the landmark decision to fit a rear-view camera on every model in the new HiLux range, from the cheapest to the dearest, starting from about $21,000 and stretching to an estimated $60,000.The first all-new Toyota HiLux ute in 10 years just got a whole lot tougher -- even though it is loaded with luxury technologyIt means the eighth generation HiLux will be the first heavy-duty ute on sale in Australia with a rear-view camera on every model in the line-up.The standard fitment of rear cameras is expected to be welcomed by safety advocates given that SUVs and utes are involved for 70 per cent of driveway deaths even though they only account for 30 per cent of cars on the road.The other big news for ute fans is that the new HiLux will be able tow literally a tonne more than before, with capacity increased to 3500kg to match the Ford Ranger and Holden Colorado pick-ups.Payload has also increased to a maximum of 1240kg on certain models.Perhaps the biggest telltale sign that the new HiLux hasn’t gone soft, though, is the fact that the driver still does not get a vanity mirror.Toyota Australian engineers have for the first time had a hand in how the top-selling ute drives.“Australia is a very important market for the HiLux and Australian engineers have played an important role in its testing,” said Toyota Australia executive director of sales and marketing Tony Cramb.“Australia has 80 per cent of the world’s harshest road conditions so that made it an ideal place to test the new HiLux.”What customers are looking for now is a more family-oriented vehicle that they can take to workToyota says the new HiLux will have more luxury mod-cons than ever before because buyer tastes have changed.“Traditionally the HiLux was very much a workhorse-based, tool-of-trade vehicle,” said Mr Cramb.“What customers are looking for now is a more family-oriented vehicle that they can take to work.”More than 16 million HiLux utes have been sold worldwide since 1968, including 850,000 in Australia.Toyota estimates there are more than half a million HiLux utes still on Australian roads.The HiLux is not only Australia’s favourite ute, it is also our biggest selling four-wheel-drive, and has been our top-selling vehicle outright on 13 individual months over the past five years.Perhaps the biggest indication of our changing taste in cars: the Toyota HiLux now comfortably outsells two former Aussie favourites: the Holden Commodore and Ford Falcon.Toyota HiLux fast factsPrice: $21,000 to $60,000 (estimated)On sale: OctoberEngine: 2.8-litre turbo-diesel four-cylinderPower: 130kW and 450NmTransmission: Six-speed manual or six-speed autoEconomy: TBC but Toyota says 10 per cent better than today’s modelTowing capacity: 3500kgPayload: 1240kg maximum on certain modelsTechnology: Seven airbags, rear view camera, sensor key, LED headlights, iPad-style display in the dashboard.

Japanese company Takata, which manufactures 20 per cent of the car industry’s airbags, has finally admitted to a US hearing overnight that the number of faulty airbags is much greater than it originally forecast.The number of affected vehicles has now climbed to a staggering 53 million worldwide, including 34 million in the US alone.The car brands that are affected include Toyota, Honda, Mazda, Nissan, BMW, Mercedes-Benz, Lexus, Chrysler, Ford and General Motors.So far, at least 556,000 cars have been recalled in Australia to have their Takata airbags replaced, but that figure is set to rise following the developments in the US which has dramatically expanded the number of affected vehicles.At least six overseas deaths have so far been linked to the faulty airbags which can spray metal shards if the airbag detonator has been exposed to moisture due to a fault in the manufacturing process.Until now Takata had claimed there was no fault, or that the problems had been fixed in its manufacturing process.But as recently as November 2014, Takata was accused of destroying evidence of internal testing of potentially faulty airbags.The recall is so massive not all car companies have been able to calculate which models are affectedThe Takata turnaround comes as authorities in the US are now trying to remove airbags from cars in junkyards so that the potentially faulty airbags don't end up being fitted to another, roadworthy car.Despite the horrific consequences, US and Australian authorities have so far refused to ground the potentially affected cars.The recall is so massive not all car companies have been able to calculate which models are affected, and some have admitted the replacement airbags won't be fitted until next year, because they can't be built fast enough."Replacement parts are presently being prepared and, due to the number of vehicles impacted globally, it is anticipated that sufficient parts will be available to commence recall repairs by early next year," said Toyota's media statement.Toyota, the world's largest car maker, last week recalled a further 5 million cars globally, including 181,000 in Australia, bringing the number of locally-affected Takata airbag-equipped Toyotas to 207,000.Honda Australia has also expanded its recall to include 109,000 cars with potentially faulty passenger airbags and 22,000 cars with potentially faulty driver airbags. It brings the total number of Hondas recalled in Australia with Takata airbags to 188,000.Honda Australia says it has not been advised from Japan if the latest Takata developments will lead to a further increase in the number of vehicles recalled.Nissan Australia has now recalled a total of 156,000 cars equipped with Takata airbags, and also says it is yet to receive information on further recalls.US company Chrysler has recalled 4500 examples of its 300C sedan made in 2006 and 2007.The car industry will struggle to contact owners of the affected vehicles because most cars are no longer with the original buyersThe Takata airbag recalls are due to the potential that, depending on the vehicle, either the driver's or passenger's airbag inflators may be susceptible to moisture intrusion over time."If this happens, this could potentially make the inflator assembly prone to rupture during an accident, increasing the risk of injury to the occupant," said the Toyota media statement.To date, all of the car brands involved in the international recalls so there have been no incidents, injuries or deaths reported in Australia.However, adding to the recall drama, the car industry will struggle to contact owners of the affected vehicles because most cars are no longer with the original buyers, given that they are typically made between 2003 and 2007 and now on the used-car market.Motorists concerned they may be driving an affected car have been advised to search the recalls.gov.au website and check if their particular make and model is being recalled.However, since this article was published the recalls.gov.au website has been overwhelmed by web traffic and numerous users have reported that the site was unable to be opened. The full list of cars we know are affected are listed below. Even though it is part of General Motors, Holden says its Australian-delivered vehicles are not affected.Ford says it is yet to be notified of any recall action following the new, broader scope of the overseas Takata recall campaign.News Corp Australia was waiting on feedback from Mazda, BMW and Mercedes-Benz as this article was published, to find out how many -- if any -- cars are affected locally.Chrysler 300C sedan 2006 to 2007Honda Jazz 2004 to 2009Honda Accord Euro 2004 to 2007Honda CR-V 2002 to 2008Honda Civic 2004 to 2005Nissan N16 PulsarNissan D22 NavaraNissan Y61 PatrolNissan T30 X-TRAILNissan A33 MaximaToyota Echo 2003 to 2005Toyota RAV4 2003 to 2005Toyota Corolla 2003 to 2007Toyota Yaris 2005 to 2007Toyota Avensis 2003 to 2007

Car dealers across Australia are reporting a surge in interest in vehicles below $20,000 as "Tony's Tradies" and small businesses try to get in before the June 30 end of financial year.June is already historically the biggest month of the year for new-car sales -- and the single biggest month for deliveries of commercial utes and vans as businesses update their models before tax time -- but this year is expected to break all records.Sole traders will be eligible for a refund of up to $8500 on a $20,000 work vehicleFollowing changes announced in this week's Federal Budget, small businesses and sole traders will be able to claim a deduction on "tools of trade" valued up to $20,000 in this financial year, rather than have the refunds spread out over eight years.The changes mean sole traders will be eligible for a refund of up to $8500 on a $20,000 work vehicle (after accounting for GST) while small businesses could pocket up to $5400 -- providing quarterly tax instalments or pay-as-you-go taxes are up to date.Sole traders in the maximum tax bracket of 47 cents in the dollar stand to make the most gains, while companies with a turnover not exceeding $2 million may be eligible for an instant tax refund of 30 cents in the dollar.Many brands are well placed to move new metalPrivate buyers, however, will not benefit from the new scheme. And tax experts have warned private buyers to not be tempted to establish a business name, because the company must demonstrate to the tax office that it is viable and has an expectation to earn income.New vehicles purchased for more than $20,000 do not apply to the new scheme and will continue to be deductible over eight years.Many brands are well placed to move new metal. The Toyota HiLux, Australia's top-selling ute, and the Mitsubishi Triton ute, are available from $20,990 drive-away in their most basic form, with a drop-side aluminum tray, a popular choice with tradies.Once the 10 per cent GST is removed from the drive-away price, they fall under the $20,000 threshold and buyers will be able to claim a deduction of between $5400 and $8500 on those models, depending on their circumstances.In effect, it brings the price of a basic ute to between $12,490 and $15,590 drive-away once the tax refund has been taken into account, which is the equivalent price of some of Australia's cheapest cars.Take advantage of the offer with cars such as the Hyundai i20, Suzuki Celerio, Nissan Micra, and the Kia CeratoSimilar savings apply to the Volkswagen Caddy and Renault Kangoo vans.Small businesses needing a city runabout to deliver parts or other goods are also expected to take advantage of the offer with cars such as the Hyundai i20, Suzuki Celerio, Nissan Micra, and the Kia Cerato, with savings range from $3897 to $8500, based on figures calculated by News Corp Australia.Indeed, the $12,990 drive-away cost of a Hyundai i20 manual -- Australia's cheapest car from a mainstream brand -- can be almost halved to just $6885 for eligible sole traders, once the tax refund is taken into account."We applaud the government's small business initiative," said Patrick Tessier, the chief executive officer of the Australia Automotive Dealer Association, representing 4000 franchises."We believe small business needs a stimulus and we think this will have an immediate benefit.""Our dealers are already reporting a spike in interest in showroom traffic and phone calls; there is a lot of inquiry about what these changes mean and what savings might be available."Mr Tessier said the tax rebates will vary depending on the individual circumstances of each small business or sole trader.We will see more cars limbo closer to that $20,000 mark in JuneThe AADA also predicts the car companies will react quickly and introduce models in June to take advantage of the new arrangements."The car industry will respond to this, but some brands will be able to do more than others," said Mr Tessier. "I think we will see more cars limbo closer to that $20,000 mark in June."Brands such as Holden, Ford, Mazda and Isuzu that don't currently have a special drive-away offer on a ute close to the new $20,000 threshold are understood to be scrambling to introduce changes to take advantage of the new tax agreements.“If people are rushing to buying a new car they need to consider the non-commercial loss provisions which apply to their business,” said Amar Deep, a chartered tax adviser.“If you’re business is making a loss, you can’t use that loss to offset your employment income and get a refund from the tax office.”Eligible businesses must turnover more than $20,000 per year and less than $2 million, the real estate assets of the business must be worth more than $500,000, other assets must be more than $100,000, and the business must have made a profit in three of the last five years.Drive your dollar further: popular work vehicles and the tax refund sole traders and small businesses may be entitled to following changes in the recent Federal Budget.Toyota HiLux ute: $20,990 drive-away, $5400 to $8500Mitsubishi Triton ute: $20,990 drive-away, $5400 to $8500VW Caddy van: $22,990 drive-away, $5400 to $8500  Renault Kangoo van: $19,990 drive-away, $5400 to $8500Kia Cerato hatch or sedan: $19,990 drive-away, $5400 to $8500Toyota Yaris automatic: $17,990 drive-awayNissan Micra automatic: $17,602 drive-away, $5280 to $8272Honda Jazz manual: $16,990 drive-away, $5097 to $7985Suzuki Celerio automatic: $13,990 drive-away, $4197 to $6575Hyundai i20 manual: $12,990 drive-away, $3897 to $6105Tax refund figures are a guide only. Consult a tax professional for an accurate estimate on any new vehicle you may consider purchasing.

Joshua Dowling gives his first report from his long-term test of the Hyundai Santa Fe Elite.

Exclusive report reveals one of the biggest factors in the deaths of young drivers.

Ford Australia plans to send off the Falcon on a turbocharged high with a limited edition model designed to boost sales in the iconic sedan's final months on sale.It has not gone unnoticed that more than one-in-three Holden Commodores sold are the V8 performance models, and Ford now wants in on the action.In a move likely to come as a welcome relief to diehard Ford fans, the 'Blue Oval' brand is set to add a high output version of its XR6 Turbo to the Falcon line-up to supplement demand for its supercharged XR8 sports sedan.Ford massively undercalled the orders for the reborn XR8 when the final edition Falcon went on sale in late 2014, and quickly moved to double the original production run.But even that is not enough to appeal to Ford fans who want to keep more than memories when the Broadmeadows car assembly line and Geelong engine plant fall silent in October 2016.The project is so secret even Ford dealers are yet to be given any detailsIn much the same way as the modern XR8 has the hardware from the previous generation Falcon GT, the high output XR6 Turbo is understood to use all the best go-fast bits -- and big brakes -- from the superseded Ford Performance Vehicles F6 Turbo.It means that Australia's most powerful locally designed, engineered and manufactured six-cylinder engine will go out on a high, with an expected output of 310kW and 565Nm, not much less than the XR8's supercharged V8.However, the turbo six has proven to be quicker in testing than the V8 because the six-cylinder car is about 100kg lighter.Ford is yet to confirm such a vehicle exists. The project is so secret even Ford dealers are yet to be given any details.The high-powered XR6 Turbo is due in local showrooms at the very end of this yearHowever, CarsGuide understands the high-powered XR6 Turbo is due in local showrooms at the very end of this year or early next year priced from less than $50,000.Ford reportedly has delayed the introduction of the special edition to maintain demand in the remaining 18 months of the Falcon's life.However, based on the latest sales figures, it can't come soon enough.Sales of the new Ford Falcon are down 12 per cent so far this year in a record new-car market.Last year, Ford Australia sales fell to their lowest in 48 years, since 1966, the year decimal currency was introduced.