Instant asset write-off for eligible businesses
Small to medium-sized businesses are being reminded they have just weeks left to make the most of the government’s increased instant asset write-off offer.
Under instant asset write-off eligible businesses can:
- immediately write off the cost of each asset that costs less than the threshold
- claim a tax deduction for the business portion of the purchase cost in the year the asset is first used or installed ready for use.
- Instant asset write-off can be used for both new and second-hand assets. Some exclusions and limits apply.
The instant asset write-off eligibility criteria and threshold have changed over time. You need to check your business's eligibility and apply the correct threshold amount.
Changes from 12 March 2020
From 12 March 2020 until 30 June 2020 the instant asset write-off:
- 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).
The criteria have changed over time so make sure you check whether your business is eligible. Please give us a call on 07 4963 4800 if you have any questions or would like to discuss if your business is eligible or visit the ATO website.