Instant Asset Write-Off

The Government's instant asset write-off explained

In case you’re not yet aware, the Australian Government has announced a new Economic Stimulus Package for businesses to assist with the purchase of assets.

Immediate tax write-off of a new or second-hand asset up to the value of $150,000 (previously $30,000) if the asset is installed and ready for use by 31 Dec 2020.

Eligibility

Eligibility to use instant asset write-off on an asset depends on:

your aggregated turnover (the total ordinary income of your business and that of any associated businesses)
the date you purchased the asset
when it was first used or installed ready for use
the cost of the asset being less than the threshold.

If you run a small business and choose to use the simplified depreciation rules, you must use instant asset write-off on all eligible assets.

What does an instant asset write-off actually mean?

As a business owner, you can potentially take advantage of this scheme to upgrade your business vehicle by immediately writing off depreciable assets that cost less than $150,000. Vehicles are amongst the eligible assets. This circumvents you having to write-off the asset partially every year, in accordance with its variable depreciation rates.

Due to the recent COVID-19 pandemic, the Australian Government decided to increase the eligibility criteria for the scheme:

Increasing the purchase threshold to $150,000
Extending to businesses with a turnover of up to $500 million (previously $50 million)
Bringing forward the eligibility timeframe to cover assets that are purchased and ready to use between 12 March and 31 December 2020.

There is an Instant Asset Write-Off available on every vehicle in the Toyota range.

Ask your accountant about what benefit your business is eligible for and how it can be applied to your next Toyota purchase. It is important to note that this communication should not be used as tax advice. You should first speak with your accountant to see how this stimulus package applies to your business.

Yaris

Corolla

Corolla Sedan

Camry

GR86

GR Supra

GR Corolla

GR Yaris

Yaris Cross

Corolla Cross

C-HR

RAV4

bZ4X

Fortuner

Kluger

HiLux

Prado

LandCruiser 300

HiLux

LandCruiser 70

Granvia

HiAce

Coaster

Instant Asset Write-Off at Kalamunda Toyota

The Government's instant asset write-off explained

In case you’re not yet aware, the Australian Government has announced a new Economic Stimulus Package for businesses to assist with the purchase of assets.