$150k Asset Write-off Extended

$150k Asset Write-off Extended

Businesses given extra 6 months to write off newly purchased assets.

In March the Australian government announced it is injecting $700 million to increase the instant asset write-off from $30,000 to $150,000 and expanding access to the scheme by lifting the cap on aggregated annual turnover to $500 million from a previous $50 million. This was due to end on 30th June 2020, but business groups have expressed the need for its extension.

Treasurer Josh Frydenberg on Tuesday this week has now confirmed the scheme will run until the end of the year, in a bid to spur economic growth.

He said the take-up of the instant asset write-off measure has been “strong” especially at a time when people are getting back to work and demand is a bit slower than it was pre-COVID. The extension of the instant asset write-off should encourage businesses to go out, grow, invest and to hire, and this is one of the measures to do just that.”