|In the 2019-2020 Budget Announcement, the Federal Government proposed to increase the instant asset write-off threshold from $20,000 to $30,000 for eligible assets and also sought to expand the application of the instant asset write-off to apply to both small and medium sized businesses with an aggregated annual turnover of less than $50 million.|
This proposal has now been passed as law and applies to all eligible assets first used, or installed ready for use, from 3 April 2019 to 30 June 2020. For Australian small and medium sized business owners, the instant asset write-off scheme is a great way to upgrade technology and help support long-term growth, while reducing your taxable income.
However, recent research by American Express shows that almost half of all Australian small businesses are unaware of the scheme and this is the first time the instant asset write-off has been available for medium sized businesses with an annual turnover of between $10 million and $50 million. Get in touch to discuss how you can unlock the impact of the instant asset write-off.
For more information about the instant asset write-off scheme, visit the ATO website or talk to your accountant.