Threshold has increased from $30,000 to $150,000 for each asset
The Australian Federal Government passed the Coronavirus Economic Response Package Omnibus Bill on 24 March 2020, this included changes to the Instant Asset Write-off threshold.
12th March to 30th June 2020
- threshold amount for each asset is $150,000 (up from $30,000)
- eligibility has been expanded to cover businesses with an aggregated turnover of less than $500 million (up from $50 million)
From 1 July 2020
- available for small businesses with a turnover of less than $10 million and the threshold will be $1,000.
How to use the tax break to your advantage
- Conduct a review of your business
- Highlight areas that could be benefited with the tax break
- Contact your tax professional
- Create a ‘shopping list’
- Make your purchase and get ready to claim
Protect your business with these items
Disclaimer: This article is provided for information purposes only and is correct at the time of publication. It should not be used in place of advice from your accountant. Information has been sourced from the Australian Taxation office via their website https://www.ato.gov.au/Business/Depreciation-and-capital-expenses-and-allowances/Simpler-depreciation-for-small-business/Instant-asset-write-off/. We suggest to speak to your tax professional for further advice specific to your individual business needs.