Buy a New Car or Used Car and claim up to $9,000 tax back with the updated $30K Tax Write-Off!
On purchases up to June 30th 2020. Conditions apply.
BUSINESS TAXATION –
INSTANT ASSET WRITE OFF
Instant asset write-off extended to more taxpayers; threshold increased.
The budget contains important changes to the instant asset write off rules, in addition to the measures contained in a bill currently before parliament.
First, the write-off has been extended to medium sized businesses, where it previously only applied to small sized entities.
The second important change is that the instant asset write-off threshold is to increase from $25,000 to $30,000. The threshold applies on a per-asset basis, so eligible businesses can instantly write off multiple assets.
The threshold increase will apply from 2nd April 2019 to 30th June 2020.
Small business entities (i.e. those with aggregated annual turnover of less than $10 million) will be able to immediately deduct purchases of eligible assets costing less than $30,000 and first used, or installed ready for use, from 2nd April 2019 to 30th June 2020.
Medium Sized Businesses.
Medium sized businesses (i.e. those with aggregated annual turnover of $10 million or more, but less than $50 million) will also be able to immediately deduct purchases of eligible assets costing less than $30,000 and first used, or installed ready for use, from 2nd April 2019 to 30th June 2020.
The asset purchase date is critical. The concession will only apply to assets acquired after 2nd April 2019 by medium sized businesses (as they have previously not had access to the instant asset write-off) up to 30th June 2020.
Important: This is not advice. Clients should not act solely on the basis of the material contained within this bulletin. We recommend formal advice be sought by clients before acting in any of these areas.