The $150K Instant Asset Write-Off Has Been Extended Until 31st December 2020!
Both the Federal Government and State Governments across the country have offered generous stimulus packages in response to Covid-19, to help small and medium sized businesses keep up cash-flow, to protect employment and manage any financial/income downturn.
The instant asset write-off threshold has been increased from $30,000 to $150,000 this year and has now expanded to include businesses with an aggregated annual turnover of less than $500 million (this is up from $50 million). This new offer applies from 12 March 2020 until 30 June 2020 and applies to new or second-hand assets first used or installed ready to use in this timeframe.
Essentially this means if you have a turnover less than $500 million, you can reduce your tax bill and write-off any assets up to $150,000.
To find out if you’re eligible* to take advantage of this IAWO Scheme before it ends 30 June 2020, please seek advice from your own financial adviser to ensure it is appropriate in your situation.
Alternatively, access the ATO website to find out more about this offer: https://www.ato.gov.au/Business/Depreciation-and-capital-expenses-and-allowances/Simpler-depreciation-for-small-business/Instant-asset-write-off/
We are not an accounting or government agency and will not offer any taxation advice.