The Instant Asset Write Off scheme was introduced in 2012 to help businesses through a tough period of economic change and the $20,000 instant asset write-off has been extended till 30 June 2025.
How will the higher Instant Asset Write Off scheme benefit your business?
The higher IAWO threshold will provide cash flow benefits for businesses as you will be able to immediately deduct purchases of eligible new or used assets.
Deductions can be claimed per asset so if your business is eligible, you may be able to write-off multiple assets straight away. You can claim on assets such as office furniture, tools and equipment and even cars, vans and trucks.
Current legislation (March 2024)
According to the ATO, under the Instant Asset Write Off scheme eligible businesses can immediately write off the cost of each eligible asset that costs less than the threshold ($20,000) and claim a tax deduction for the purchase cost.
The tax deduction can be claimed for the business portion of the cost of an asset in the year the asset is first used or installed ready for use, currently the 2023-24 and 2024-25 financial year.
Buying a car at Westside Auto Wholesale
You can capitalise on the Instant Asset Write Off assuming you meet the requirements. If you do, a car purchase at Westside Auto Wholesale for your business can allow you to immediately deduct and claim all costs at once. Not sure where to get started? The team at Westside Auto Wholesale are experts on this subject and are happy to assist you with your next work vehicle purchase today.
