Small Business Tax Incentive
August 20, 2019
Take advantage of the recently increased instant asset write off until 2020. This incentive gives businesses a $30,000 instant car tax reduction. It’s the ultimate business tax deduction for buying a car for business.
The best part is that you can instantly claim! There’s no need to wait until the end of the financial year to claim your car tax reduction. Any company with a turnover of up to $50 million can benefit from the new asset tax write-off scheme that was introduced in April of 2019.
The government announced that the instant asset tax write-off threshold has increased from $25,000 to $30,000. Now is the perfect time to buy that brand new, used or demo Ford, Hyundai or Mitsubishi business vehicle.
Keep reading to discover how the new $30,000 car tax deduction works.
$30,000 Tax Write Off Explained
The $30,000 instant write-off can decrease your payable tax. Meaning you can spend up to $30,000 on assets, enabling your taxable income to be reduced by the same amount!
Cars (along with other assets, such as work tools and equipment) decrease in value over time. You can usually claim a percentage of this cost each year for depreciation. However, with the instant asset write-off scheme, you can instantly claim your car tax deduction.