We’re glad to see the Morrison Government backing small businesses with the extension of the instant asset write-off until 31 December 2020!
Did you know that they have applied a car limit to the cost of passenger vehicles purchased through the instant asset write-off scheme? The car limit is:
- $57,581 for the 2019–20 income tax year
- $59,136 for the 2020–21 income year
The instant asset write-off is limited to the business portion of the car limit for the relevant income tax year. For example, the car limit is $57,581 for the 2019–20 income tax year. If you use your vehicle for 75% business use, the total you can claim under the instant asset write-off is 75% of $57,581, which equals $43,186. After some advice on how you can be taking advantage of the instant asset write-off? Get in touch with one of our expert Accountants today by phoning 4638 5300.