The Coronavirus outbreak has had economic implications for several businesses around the world.
To support our local businesses during this economic downturn, the Australian Government has amended the eligibility for the instant asset write-off and is incentivising business investments for the next 15 months.
Instant Asset Write-Off (IAWO)
- The IAWO threshold has increased to $150,000
- Businesses with turnovers up to $500million are now eligible for the IAWO (until 30 June 2020)
- Eligible businesses can immediately write-off multiple assets, as the $150,000 tax deduction is available per asset
Backing Business Investment (BBI)
- Businesses with turnovers up to $500million are now eligible for the BBI
- Applies to assets first used/installed by 30 June 2021, or assets acquired after the announcement
- A deduction of 50% of the cost of eligible assets (with the current depreciation rules applicable to the balance of the asset’s purchase price)
The Governments Response To Coronavirus
The Government is trying to help the economy withstand and recover from the economic implications of the Coronavirus. Please read the Support For Business Investment Fact Sheet prepared by the Australian Government Treasury for more information.