Newsletter
September 2018 Newsletter
Small business asset write-off might leave them with a rude shock
While the ATO had the original plans of extending the small business asset write-off until June 30 2019, this is currently in parliamentary inaction meaning that the extension of this is still pending approval by officials and may not pass. Small businesses who have already invested in that $20,000 asset tax write-off for the next financial year may not be getting the instant tax deductibility that they thought.
What does this mean for the small businesses? From July 1 2018, the tax write-off threshold resorted to $1,000 until the new threshold gets approved (if it gets approved). Any business that has made purchases in the past two months hoping to benefit from the write-off may be disappointed.
It has been greatly advised that small businesses are to put a hold on non-essential asset purchases to see whether or not the new law has been approved.
If your business has gone ahead and purchased these assets, you can now start the process of depreciating them over the years to eventually get your tax deductible in the long run. A lot of businesses are relying on the fact that it will get passed, but there are some concerns around this.
Read the full article at My Business here: https://www.mybusiness.com.au/finance/4897-small-business-in-for-rude-shock-over-asset-write-off