Australian Federal Government Tax Relief for Small Businesses

For those businesses located outside of Australia, apologies as this is not relevant.

However, for small businesses with turnover under $2million per annum located in Australia, this is a brilliant opportunity to secure an immediate tax relief for capital purchases under $20,000. All capital purchases under $20,000 can be fully depreciated in the current financial year of purchase, up until 30 June 2017.

What does this mean? Small businesses with a turnover of less than $2 million can immediately tax deduct any item costing less than $20,000.

What can you buy? Anything used for running the business. This may mean a laser machine, filter, rotary attachment, cutting tables, harsh environment kits, lens etc. Or of course, a new computer, car etc. The tax write-off can be used on as many individual items you want to buy.

Please visit the Australian government budget website for more information.