Since the tax season is approaching, our CLY Tax Accountant Bayswater have explained important 2019 tax deduction for asset write off, which could be beneficial for many small to medium businesses to think about before the end of financial year 2018/2019 or in financial year 2019/2020.
$30,000 instant asset write-off for Small to Medium Businesses
For anyone still looking to purchase assets for their business before the end of financial year 2019, our accountants servicing Bayswater are ready to help you with all your tax needs. ATO has increased the instant asset write-off threshold to $30,000 with an extension to 30 June 2020. This means that any new or secondhand assets purchased for less than $30,000 and either used or installed ready for use from 7:30pm AEDT on 2 April 2019, the business portion of that asset can be claimed as a deduction. However, before that date, there will be different thresholds applies to those purchased assets. Limit of $25,000 will apply from 29/01/2019 to 02/04/2019 while $20,000 will apply before 29/01/2019. If you want to know more about different write-off thresholds, please contact our local Bayswater tax specialist.
If there are multiple purchased assets, you can still claim a deduction provided each asset is under the relevant threshold applicable to that time period. Although assets costing more than $30,000 can’t be deducted straight off, the small business pool will still be available for you to deduct them over time. If you need any assistance regarding planning for write off or depreciating assets, we will be your local professionals on your side to help.
The instant asset write-off will also be applicable to businesses with a turnover from $10 million to $50 million from 2 April 2019, so no matter how small or large your business is, or whatever your concerns about 2019 tax return Bayswater, we are always happy to help. There will other important 2019 tax related topics / updates published by out CLY Tax Accountants & Bookkeepers Bayswater in the coming weeks. If you would like to explore more changes for 2019 individual or business tax Baywater, feel free to contact us by phone or email. After hour appointment can also be arranged to suit your needs.