FREECALL
1800 425 438
CERTIFIED USED
Instant Asset Write-off

Instant Asset Write-off

The Federal Government's instant asset write-off threshold has been extended to June 2022. There's never been a better time to buy used equipment from Toyota Material Handling!

Thinking of buying assets for your business? Maybe a used forklift, walkie stacker, skid steer loader, or another product from our range?

On 6 October 2020, as part of the 2020–21 Budget, the government announced that it will target support to businesses and encourage new investment, in part through a temporary full expensing incentive.

This measure is now law.

Eligible businesses with an aggregated turnover of less than $5 billion can deduct the full cost of new eligible depreciating assets that are first held, and first used or installed ready for use for a taxable purpose, between 7:30pm AEDT on 6 October 2020 (the 2020 Budget time) and 30 June 2022. For small and medium sized businesses (with aggregated turnover of less than $50 million), full expensing also applies to eligible second-hand assets.

Businesses can also deduct the full cost of improvements made during this period to depreciating assets, whether those assets were acquired before or after the 2020 Budget time.

The measure also extends the time by which assets that qualify for the existing enhanced instant asset write-off incentive that applies to small and medium sized businesses must be first used or installed ready for use for a taxable purpose by 6 months, to 30 June 2021.

Small businesses (with aggregated turnover of less than $10 million) can deduct the balance of their simplified depreciation pool at the end of the income year while full expensing applies. The provisions that prevent small businesses from re-entering the simplified depreciation regime for five years if they opt out of the regime continue to be suspended.

Remember, registered tax agents can help you with your tax.

*For more information visit -https://www.ato.gov.au/General/New-legislation/In-detail/Direct-taxes/Income-tax-for-businesses/JobMaker-Plan---temporary-full-expensing-to-support-investment-and-jobs/#:~:text=Eligible%20businesses%20with%20an%20aggregated,time)%20and%2030%20June%202022

Please note: The information provided is of a general nature and does not take into account your personal needs and financial circumstances. Nothing constitutes or should be considered to constitute legal, taxation or financial advice. Before making a decision about any of the products or services featured, you should consult with your own independent legal, taxation and financial advisors, who can advise you about your personal circumstances.