In good news, the instant asset write-off threshold for small Australian businesses will be temporarily increased to $20,000 per asset, from 1 July 2023 until 30 June 2024. Announced as part of the 2023–24 Budget, The Australian Government said this measure will improve cash flow and reduce compliance for organisations with aggregated turnover of less than AU$10 million. These businesses will be able to immediately deduct the full cost of eligible assets costing less than $20,000 that are first used or installed and ready for use between 1 July 2023 and 30 June 2024. The $20,000 threshold applies on a per asset basis, meaning that you can instantly write off multiple assets. Assets valued at $20,000 or more (which cannot be immediately deducted) can still be placed into the small business simplified depreciation pool and depreciated at 15% in the first income year and 30% each income year after that. Confused About Changes Coming? At the Ayers Group we make it our business to remain up-to-date with changing legislation and keep you informed so you can focus on building your business. If you need advice on changing legislation, give an expert at the Ayers Group a call.