Temporary Full Expensing

To fast-track business recovery post COVID-19 as part of the Federal Budget 2020, the Federal Government announced an incentive called Temporary Full Expensing, similar to the Instant Asset Write Off Scheme.

With this scheme, eligible business owners will be able to deduct the full amount of any eligible depreciating business asset in the same financial year it is purchased & installed. This means that eligible small businesses have an extra incentive to invest for success for their business before June 30!

The criteria of the incentive is below:

• For current financial year eligibility, assets need to be purchased and used/installed before 30th June 2022
• Eligible small businesses can instantly write off the entire cost of new capital assets of any value
• Businesses with up to $5 billion in annual turnover can access this scheme
• Small businesses with up to $50 million in annual revenue will also be able to fully expense all second-hand assets
• Claim as many eligible assets as you like as long as the assets are used for business purposes

This new version of the Instant Asset Write Off Scheme will continue until 30th June 2023.

For more information, visit the Aus Gov website