The $150,000 Instant Asset Write-Off provides businesses with an important tool that can help you to save on taxes and purchase the equipment and assets you need to run your business efficiently.
This is a great way to make the most of your business expenses by claiming an immediate deduction for the business portion of the cost of an asset in the year the asset is first used or installed ready for use. This deduction applies to both new and second-hand assets, and multiple assets can be claimed if the cost of each individual asset is less than the relevant threshold.
Take note, the asset you wish to claim for the scheme MUST be installed and ready for use by 30 June 2023 or you can’t claim it.
As a small business owner, it’s important to take full advantage of the instant asset write-off before the deadline. The IAW scheme has been around since 2015 and has proven to be a much-needed help for SMEs and costly items alike. However, the scheme is now coming to an end on the 30th of June 2023.
Fortunately, there are still a few ways businesses can make the most of the IAW before it expires. For starters, businesses should ensure they have accurate records of the assets they’ve written off. They should also ensure they have a plan for depreciation of the assets they need to write off after the deadline. Finally, consider getting in touch with professionals for advice on how to best make use of the IAW. We at The A Firm are happy to help you take full advantage of this scheme so give us a call today!