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$150,000 instant asset write-off
New or Used Business assets

What Business assets could be eligible of the instant write off?

• Work related vehicles
• Machinery
• POS and display equipment
• Hand Tools
• Websites
• Restaurant paging systems
• Storage & refrigeration
• WI Fi or IT infrastructure
• VoIP Telephone systems
• Business use TV and Monitors
• Digital Signage
• Security upgrades
• Audio Visual equipment
• Networking and Data storage
• Air conditioners
• Office furniture
• Shop fittings and Fitouts
• Kitchen equipment

Instant asset write-off for eligible businesses

Under the instant asset write-off, eligible businesses can claim an immediate deduction for the business portion of the cost of an asset in the year the asset is first used, or installed ready for use.

Instant asset write-off can be used for:

• multiple assets as long as the cost of each individual asset is less than the relevant threshold
• new and second-hand assets.

It cannot be used for assets that are excluded from the simplified depreciation rules.

The instant asset write-off eligibility criteria and threshold have changed over time. You need to check your business’s eligibility and apply the correct threshold amount. This depends on when the asset was purchased, first used or installed ready for use.

Recent changes

From 12 March 2020 until 31 December 2020 the instant asset write-off:

• threshold amount for each asset is $150,000 (up from $30,000)
• eligibility has been expanded to cover businesses with an aggregated turnover of less than $500 million (up from $50 million).

On this page:

• Eligibility
• Thresholds
• Exclusions and limits
• Cost of asset exceeds threshold
• Work out your deduction
• Later sale or disposal of asset

Eligibility

Eligibility to use instant asset write-off on an asset depends on:

• your aggregated turnover (the total ordinary income of your business and that of any associated businesses)
• the date you purchased the asset
• when it was first used or installed ready for use
• the cost of the asset being less than the threshold.

If you run a small business and choose to use the simplified depreciation rules, you must use instant asset write-off on all eligible assets.

Businesses with an aggregated turnover of $500 million or more are not eligible to use instant asset write-off.

From 1 January 2021 the instant asset write-off will only be available for small businesses with an aggregated turnover of less than $10 million and the threshold will be $1,000.

Due to more stringent Lending conditions under the COVID-19 pandemic, additional information, requirements and conditions may apply. Some product offers and options may have been restricted or changed under COVID-19.

In addition, Lending to non-essential or notably effected Industries has restricted.  Please contact us to see what options are currently available for your Industry or your business.