Instant Asset Write Off for low value assets

By Sarah, on December 09th 2020

Ease the burden on your business with an instant asset write off and have the necessary cash flow to invest in assets that will help your business thrive. The 2020-21 budget has accounted for the hardships that many small businesses will have faced as a result of the effects of COVID-19.

The low-value asset threshold for depreciation is from $500 to $5,000. This will allow you to deduct the full cost of your business assets with a value of less than $5,000 in the year they purchased them. This is instead of having to spread the cost over the life of the asset. The low-value threshold will be raised further to allow the immediate expensing of assets purchased on or after 17 March 2020 that cost less than $5,000.

The Government is only raising the threshold for a short time until 16 March 2021. They’re doing this so you and other business people keep investing in their businesses throughout the COVID-19 outbreak.

For assets purchased on or after 17 March 2021, this threshold will be permanently increased from $500 to $1,000.

Rhima has a range of washing equipment to suit your needs. Rhima are able to help your business find the right solution to your ware washing needs.
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