The Australian Federal Government has announced the increase of the Instant Asset Write Off amount from $30,000 to $150,000. All small to medium sized businesses with an annual turnover of less than $500 million are eligible.
Businesses that purchase assets under $150,000 will immediately be able to claim a deduction for the full amount in the 2020 financial year. The increase will only be available for new and second-hand assets purchased between 12th March 2020 until 30 June 2020.
Under the assumption that the same rules apply as the previous Instant Asset Write Off, any Small Business Pool closing balances with a value of under $150,000 at 30 June 2020 can be fully deducted.