Increase to the Instant Asset Write-Off (IAWO).
This notice details the Federal Government announcement on 12 March regarding the increase to the Instant Asset Write-Off (IAWO). This came into immediate effect as of the announcement.
The events that are currently unfolding around the world due to the spread of the coronavirus COVID-19 are unprecedented. The Australia Federal Government released this first package as an initial response.
The packages are aimed at boosting the economy in the immediate short-term. Furthermore, their goal is to assist the recovery from the effects of the coronavirus outbreak in the long-term.
Instant Asset Write-Off package details
The details of the Instant Asset Write-Off package are;
- Write-off threshold to increase from $30,000 to $150,000.
- Expanded access to the write-off for businesses with an aggregated annual turnover of up to $500 Million.
- Threshold applies on a per asset basis, so eligible businesses can immediately write-off multiple assets.
- Only applies until 30 June 2020.
- From 1 July 2020 the IAWO will revert to $1,000 for small businesses with turnover less than $10 Milliion.
We are available to discuss how the coronavirus may affect your business and how the effects may be mitigated. Knowledge, planning and action are vital. Call us now.
We hope that yourself and those around you stay safe over the coming weeks.
Additional relief package information
Our other posts contain details of further relief packages due to coronavirus.
For more information, read;
- Australian Federal Government Backing Business Investment support package.
- Small Business Relief Package from the Australian Banking Association.
Visit the government published details of the package at treasury.gov.au/coronavirus.