According to Publicaaccountant.com, on 30 June 2023, the government’s temporary full expensing scheme will end – meaning the full cost of assets can no longer be immediately written off.
Instead, eligible businesses will be able to deduct the full cost of assets up to $20,000 per asset that are purchased and ready to use between 1 July 2023 and 30 June 2024.
What does this government’s temporary full expensing scheme mean for your plans?
If you purchase an asset valued at more than $20,000 between 1 July 2023 and 30 June 2024, you will not be able to immediately write off the asset’s value. Assets over $20,000 can be depreciated over time.
Assets valued at less than $20,000 per asset purchased and installed in the next financial year can be written off, and eligible businesses can write off multiple assets.
1 July also brings in a range of new measures announced in the Federal Budget in May, including the Small Business Energy Incentive, which provides bonus tax deductions for spending on assets and upgrades that support electrification energy efficiency, up to the value of $100,000.
If you have been planning to purchase assets or upgrade equipment, let’s talk about your plans by submitting a form here or you may talk to us by sending us an email at [email protected] or call us at 1300 844 678 to learn how the recent budget announcements may impact them, so we can make sure you aren’t missing out on rebates, concessions or tax breaks.