Leases vs. Chattel mortgages

	Lease	Chattel Mortgage
Ownership	Person who grants the lease (lessor) is the owner of the goods	You are the owner of the goods when it is purchased/financed.
GST	GST is claimed as you make the payments, not up front.	You can claim the full GST component when lodging your next BAS.
Prepayments	If you are small business you can prepay lease payments to bring forward income tax deductions.	Same as the lease, as long as you are a small business you can pre-pay chattel mortgages, however this is not as effective as leases as given that you already own the asset you will only get the tax benefit of the pre-paid interest and not the pre-paid principle.
Depreciation	Once the residual payment at the end of the lease is paid, ownership is transferred to you. At this point in time depreciation will be claimed.	As you take control/own the goods from its acquisition, the depreciation is claimed from when you acquire the asset.