Here’s a quick fact sheet to explain the instant asset write off and instant depreciation deduction initiatives included in the March 2020 Economic Stimulus Package. Both of these initiatives are available to all businesses with an annual turnover of less than $500m.
Note: although these initiatives have been superseded by temporary full expensing of depreciating assets (TFEDA) for assets acquired after October 7 2020, both have absolute relevance to assets acquired before the TFEDA came into effect.
This initiative allows businesses to instantly write off any eligible asset (e.g. vehicles, machinery) with a purchase price of $150,000 or less (excluding GST) acquired from March 12 to December 31 2020.
Here’s what you need to know:
Any eligible asset with a purchase price greater than $150,000 (excluding GST) acquired from March 12 to June 30 2021 is eligible for an immediate 50% depreciation write off with the balance of the Written Down Value (WDV) depreciable under the usual ATO guidelines.
You can also read the government fact sheet for clear examples of both initiatives.
With an average score of 4.9 out of 5 stars in over 1000 independent reviews, Finlease can arrange the right financing for your business.
Contact your local Finlease team member to secure finance approval and take advantage of the significant tax breaks available under these programs.
The team at Finlease is well resourced and ready to assist any clients and suppliers to put in place any finance approvals which may be needed to take advantage of the significant tax breaks available under these programs, so please feel free to contact your local Finlease team member.
To find a Finlease team member near you, please see our team at https://www.finlease.com.au/about-us/our-brokers
If you have not used Finlease before, please feel free to see what our existing clients say about us with a score of 4.9 out of 5 stars on over 1000 independent reviews https://www.productreview.com.au/listings/finlease
Mark O’Donoghue, Founder & CEO Finlease
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