Need a new van to deliver more orders? New machinery to ramp up production? Purchase the tools for the new apprentice? Or maybe new computers to keep up with technology?
As we approach the end of financial year, there is still time to benefit from the Australian Government’s tax initiatives.
If you are seeking ways to maximise your benefits this year and also been thinking about new assets to assist grow your business then perhaps it might be worthwhile thinking about utilising the instant tax write off prior to June 30 2021.
One of the key components of the 2021 budget has been the expansion of the Instant Tax Write Offs [now called the Temporary Full Expensing Measures] with some extensions until 30 June 2023.
The 2021 Budget now allows for:
- The full expensing in the first year of use of new depreciable assets;
- The full expensing of the cost of improvements to existing eligible assets;
- The full expensing of the cost of used assets up to $150K purchased before 31 December 2020 and delivered or installed by 30 June 2021 by businesses with turnover between $50M and $500M.
According to the Australian Taxation Office (ATO), the types of assets that instant asset write offs may apply to include:
- Vehicles used to conduct business
- Types of office furniture
- Computers and technological equipment
- Mining equipment
- Certain kinds of machinery and equipment
There may be other items that may be expensed through this mechanism, so if you think this may be a viable option please get in touch with us to discuss your situation.
If you would like more information or to book an appointment, please contacts any of our team on 4926 4155 or email us at admin@tspaccountants.com.au