Here’s the good news on claiming the cost of your business assets.
The $20,000 Instant asset write-off threshold has been extended to 30 June 2019.
This means you can continue to claim the cost of new or second-hand assets that are less than the threshold of $20,000.
Which business can benefit?
Your business must have a turnover of less than $10 million to take advantage of $20,000 instant asset write-off.
What does it mean for your business?
Using simplified depreciation rules, you can:
- instantly claim the business portion of most depreciating assets that cost less than $20,000 in your tax return for the relevant income year
- only claim a deduction for the portion of the asset used for business or other taxable purposes and not for the portion for private use.
Assets of more than $20,000 can be put into a small business asset pool where you can claim gradual amounts each year.
Talk to someone about your particular circumstances:
- contact a registered tax agent
- talk to your accountant
- discuss with your business advisor
Visit the Australian Taxation Office (ATO) website page about the
Instant asset write-off or call the ATO on 13 28 66.
This story was first published in The Fence magazine.