To qualify the annual turnover threshold for businesses is now increasing from $50 million to $500 million. Expanding the threshold will mean an additional 5,300 businesses who employ around 1.9 million Australians will be able to access the Instant Asset Write-off for the first time.
The asset write-off has been increased from $30,000 to $150,000.
The threshold applies on a per asset basis, so eligible businesses can immediately write‑off multiple assets. The IAWO is due to revert to $1,000 for small businesses (turnover less than $10 million) from 31 December 2020.
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The good news is that the Government is expanding access so that more businesses can take advantage of the Instant Asset Write-Off.
To qualify the annual turnover threshold for businesses is increasing from $50 million to $500 million. Expanding the threshold will mean an additional 5,300 businesses who employ around 1.9 million Australians will be able to access the Instant Asset Write-Off for the first time.
This proposal timeframe is currently from 12 March 2020 until 31 December 2020, for new or second‑hand assets first used or installed ready for use in this timeframe.
However, these changes do not take effect until new laws are passed.
We’ll provide more information about how to access the IAWO as it becomes available.
We are advising all customers to speak to their accountant and seek professional advice before making a purchase decision.
For more information regarding the Instant Asset Write-off program and other stimulus package supporting Australian Businesses please visit business.gov.au.
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At TUFF we want to make a positive difference for our clients, our employees and the community.
TUFF Australia is a leading Australian distributor and manufacturer of vehicle frontal protection systems, ute trays and canopies and is a nationally recognized, well-respected brand in the aftermarket accessory industry.
We see our role as protecting our clients and their property on the road.