From now until the 30th June 2020 the instant asset write-off threshold has been increased from $30,000 to $150,000.
This scheme has proven to be very popular with small business owners as it allows business owners to immediately write off depreciable assets that cost the business.
The purpose of the instant asset write off is to accelerate the speed at which you can make deductions for those purchases. Business can now write off the cost of the asset in the same financial year as they bought it instead of the ongoing depreciation rules that previously applied. So if your business is structured as a company, you would receive back the current company tax rate of 27.5%.
There is no guarantee that the Government will continue the scheme in the 2020/21 financial year so this could be the final year of the increased threshold before being reduced back to the original $1000 cap.
What you can do now? Contact us at the Fuji Xerox Business Centre Mid North Coast to review your copier options to see how much we can save you on costs and your sanity with a reliable, quality copier.